The Department for Work and Pensions (DWP) has issued a new update over a change to the State Pension age following a long campaign by activists.
WASPI (Women Against State Pensione Inequality) has been working on behalf of people who have been caught out by changes to the system. The group has been calling for a one-off compensation payment valued between £11,666 and £20,000 for everyone who was not given enough warning by the DWP that the State Pension age was going up from 60 to 66.
The change to the pension age for women was legislated in 1995, however, the change wasn't discussed with those affected until 2012. The issue led to the Parliamentary and Health Service Ombudsman (PHSO) to find the DWP guilty of maladministration.
It said that "the opportunity that additional notice would have given them to adjust their retirement plans was lost." Kerry McCarthy, MP for Bristol East, questioned the Secretary of State for WOrk and Pensions what exact discussion took place with the ombudsman when the DWP planned to publish its stage to report on complaints surrounding the awareness of the changes.
Lisa Nandy, Shadow Secretary of State for Levelling Up, Housing and Communities, also asked by the DWP was not personally meeting with WASPI to discuss the issue. Pensions Minister Guy Opperman responded: "State Pension age issues have been debated extensively in the House over many years, and subsequently litigated in the highest courts in the land.
"The PHSO Ombudsman’s investigation into communication of changes to women's State Pension is ongoing; section 7(2) of the Parliamentary Commissioner Act 1967 states that Ombudsman investigations 'shall be conducted in private.' It would be inappropriate to discuss these issues whilst the PHSO Ombudsman's investigation is ongoing.
"This is the approach of successive governments to such matters." The ombudsman explained that after finding maladministration: "We then move to the second stage and consider whether it led to an injustice for the complainant.
"At the second stage, we would also consider the complaints about DWP not adequately communicating the required number of years of national insurance contributions to receive a full State Pension, as well as DWP’s and ICE’s complaint handling. "If we find there was an injustice that has not already been remedied then we will proceed to the third stage and make recommendations to put things right."
Despite this, WASPI is continuing to urge the DWP to fully set out compensation plans ahead of the final stages of the ombudsman's investigation. This is mainly due to the fact that many women affected are approaching their retirement in a state of financial hardship which has been largely driven by the soaring cost of living crisis.
According to campaigners' research, by the end of this year, 220,000 women will have already died while waiting for compensation. This is according to the fact that around 3.6 million women who were born on or after April 6, 1950 are affected by the change.
WASPI Chair and Finance Director Angela Madden said: "We are grateful for MPs such as Kerry McCarthy’s continued support for the WASPI campaign. Our members are understandably getting frustrated by Opperman’s stubborn refusal to engage with the issue and are beginning to conclude that the Government is just choosing to ignore the issue rather than rectify it when they can.
"The ombudsman has already found the DWP guilty of maladministration of the communication of changes to women's State Pension age. Despite this, the Government is refusing to meet with campaigners to agree on fair and fast compensation."
Speaking to Birmingham Live, the PHSO said it will be making recommendations to the DWP but lacks the power to enforce any compensation payments. It said: "Many complainants have told us they are seeking reinstatement of their State Pension, the State Pension age to revert to 60, and/or compensation for the amount of State Pension they would have received had their State Pension age not changed.
"The 2019 High Court decision underlined that we are not able to recommend DWP reimburse 'lost' pensions. We also can't recommend that anyone receive their State Pension any earlier than the law allows. To do so would reverse or try to reverse primary legislation."
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