WASPI women will not receive compensation from DWP over pension changes
by Simon Coyle · Manchester Evening News'WASPI' women will not receive compensation despite a recommendation from a watchdog that they should, the DWP has confirmed.
Women Against State Pension Inequality (Waspi) has advocated for support for women born in the 1950s, who say they did not get adequate warnings about changes to the state pension.
A report by the Parliamentary and Health Service Ombudsman (PHSO) found that affected women should have had at least 28 months’ more individual notice of the changes by the DWP.
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It also said that for women who were not aware of the changes, the opportunity that additional notice would have given them to adjust their retirement plans was lost due to delay.
The PHSO further suggested that compensation at level four, ranging between £1,000 and £2,950, could be appropriate for each of those affected.
However, on Tuesday, Work and Pensions Secretary Liz Kendall confirmed that women affected by the changes would not receive compensation. Ms Kendall did accept the Ombudsman’s finding of maladministration and has apologised for a 28-month delay in writing to 1950s-born women.
She said: “The Government does not believe paying a flat rate to all women at a cost of up to £10.5 billion would be fair or proportionate to taxpayers
“These two facts: that most women knew the state pension age was increasing and that letters aren’t as significant as the Ombudsman says, as well as other reasons, have informed our conclusion that there should be no scheme of financial compensation to 1950s-born women, in response to the Ombudsman’s report.”
She added: “The alternative put forward in the report is for a flat rate compensation scheme, at level four of the Ombudsman’s scale of injustice, this would provide £1,000 to £2,950 per person at a total cost of £3.5 billion and 10.5 billion.
“Given the vast majority of women knew the state pension age was increasing, the Government does not believe paying a flat rate to all women at a cost of up to £10.5 billion would be fair or proportionate to taxpayers.”