New DWP update for WASPI women affected by changes to State Pension age due in 'coming weeks'
Pensions Minister Emma Reynolds has said that WASPI (Women Against State Pension Inequality) women could see an update on State Pension age compensation “in the coming weeks” amid calls for a statement from the Department for Work and Pensions (DWP) before Christmas. A report published in March by the Parliamentary and Health Service Ombudsman (PHSO) found that affected women born in the 1950s should have had more individual notice of changes to their State Pension age.
During DWP questions on Monday, Liberal Democrat MP Steve Darling, said: “I am sure all Members in this Chamber are aware of the Women Against State Pension Inequality campaign and the parliamentary ombudsman’s findings. Will the Secretary of State (Liz Kendall) commit to making a statement in the House before Christmas on progress with her review of the Ombudsman’s report?”
READ MORE: DWP urged to ‘think again’ about means-testing Winter Fuel Payments for millions of pensioners
READ MORE: People on New State Pension due up to £921 each month from next April
Responding to the Lib Dem work and pensions spokesperson, Pensions minister Emma Reynolds told the Commons: “The Ombudsman took six years to consider a range of complex cases, and we are looking at their complexity. I was the first Minister in six years to meet representatives of the WASPI campaign.
“We hope to be able to update the House in the coming weeks.”
Last month, Pensions Minister Emma Reynolds confirmed that the DWP have been “considering the costs of setting up a compensation scheme” for women born in the 1950s affected by changes to their State Pension age.
In a written response to Steve Darling, the Liberal Democrat shadow work and pensions spokesperson on Tuesday, Ms Reynolds explained that as part of the DWP’s “work on the Ombudsman’s investigation and report” it had found that the PHSO’s estimate to compensate all women at level four - between around £3.5billion and £10.5 billion - did not take administrative costs into account.
The Pensions Minister said: “As part of our work on the Ombudsman’s investigation and report, we have been considering the costs of setting up a compensation scheme.
“The Ombudsman used DWP’s broad estimates in their report published 21 March 2024, stating that ‘Compensating all women born in the 1950s at the level 4 range would involve spending between around £3.5 billion and £10.5 billion of public funds’. This estimate excludes administration costs.”
Ms Reynolds added: “This government is giving its full and proper consideration to all areas of the Ombudsman's report.
“Once this work has been undertaken, we will be in a position to outline our approach.”
Mr Darling had asked DWP if it had “undertaken financial modelling for a potential compensation scheme for issues raised” in the PHSO’s final report.
