An investigation by the Parliamentary and Health Service Ombudsman highlights failures by the Department for Work and Pensions to inform women born in the 1950s about state pension age changes, prompting calls for compensation.
The UK government is under pressure to deliver compensation to women born in the 1950s affected by changes to the state pension age, following criticisms of mishandling and inadequate communication from the Department for Work and Pensions (DWP). The Parliamentary and Health Service Ombudsman’s (PHSO) investigation, concluding a five-year enquiry, suggested that thousands of women were not properly informed about the pension age reforms initiated since 1995, potentially impacting up to 3.8 million individuals.
The Ombudsman reported the DWP’s failure to provide timely and accurate information as a significant oversight, proposing a compensation range of £1,000 to £2,950 for significant injustices, affecting financial planning and autonomy, and extending a recommendation for compensation between £3.5 billion and £10.5 billion overall. This could include payments of at least £10,000 for the highest injustices suffered.
Women Against State Pension Inequality (Waspi) and various MPs and charities, including Age UK, have voiced critical concern, highlighting the urgency of providing fair compensation due to the dire circumstances many affected women now face. Age UK, comparing the delays in compensation to other historical schemes like Windrush, stressed the necessity for immediate governmental action to fulfil the report’s recommendations.
The Ombudsman described this call for parliamentary intervention to ensure proper remedy as “rare but necessary”, underlining the severity of the DWP’s shortcomings. Work and Pensions Secretary, Mel Stride, is anticipated to address these recommendations in the House of Commons shortly, with the DWP promising a careful review of the report and reaffirming their commitment to pensioner support for secure retirement.
As the debate intensifies, the focus remains on securing prompt and fair compensation for those affected, acknowledging the financial hardships and injustices faced by women due to the state pension age reforms.