- The Parliamentary and Health Ombudsman has published the full findings of its review into the communication of women’s state pension increases
- The investigation probed complaints that since 1995 the Department for Work and Pensions (DWP) had failed to provide “accurate, adequate and timely information about areas of State Pension reform”.
- The Ombudsman published stage one of its investigation in July 2021, finding DWP was guilty of ‘maladministration’ over informing women of increases to their state pension age
- Stages 2 and 3 of the report are published today, setting out what it has identified as the consequences of the maladministration and the remedy
- The Ombudsman is concerned DWP has not acknowledged its failing nor addressed correcting the situation and is therefore asking Parliament to intervene
Danni Hewson, head of financial analysis at AJ Bell, comments:
“The WASPI women will today be claiming a victory of sorts. Millions of women were affected by increases in their state pension age originally put forward in the 1995 Pensions Act. These women will feel understandably angry they weren’t given adequate information about the changes, which would have such a profound impact on their retirement plans.
“However, although the Ombudsman found the DWP guilty of maladministration back in July 2021, the DWP has so far not put its hands up to acknowledge its failings nor take any action to compensate these women.
“With the DWP effectively ghosting its findings so far, the Ombudsman has passed this political and potentially expensive hot potato into the hands of a government already struggling with stretched public finances.
“This would be no cheap solution. The Ombudsman puts the cost of compensating all women born in the 1950s at between £3.5 billion and £10.5 billion, although it acknowledges not all of them will have been affected. There will be pressure to move quickly, but this is something that could be kicked into the long grass if a May election is called at what now is the 11th hour.”
