The Department for Work and Pensions has issued a significant update regarding its formal position on potential compensation payouts for women affected by state pension age changes. This development follows a commitment from the Labour Party government before Christmas to review a previously-announced policy that had ruled out compensation for women born in the 1950s.
Background to the WASPI Campaign
The Women Against State Pension Inequality campaign has been advocating for compensation for women born in the 1950s who were affected by increases to the state pension age. The controversy centres around how these changes were communicated, with campaigners arguing that insufficient notice left many women facing financial hardship and disrupted retirement plans.
Rediscovery of Key Documents
The situation gained renewed attention following court proceedings that led to the rediscovery of a 2007 DWP evaluation. This document had prompted officials to stop sending automatic pension forecast letters, a decision that campaigners argue contributed to the communication failures affecting women's retirement planning.
Growing Political Pressure
Campaigners have now gathered support from 100 Members of Parliament who have signed a letter urging the government to reach what they describe as "the right decision" for 1950s-born women. The letter specifically calls on Secretary of State for Work and Pensions Pat McFadden to provide an update on government plans by March 2 at the latest.
Official Explanation for Delay
DWP permanent secretary Peter Schofield has provided clarification regarding the current delay in decision-making. He explained: "There's a formal, serious exercise going on, which is retaking a really important decision by Government. The action plan itself flows from a previous decision, that has now been retaken, so there's a formal Government process here underway."
Schofield further elaborated: "That means I've got to stop work on the implementation of the previous decisions. That's the formal position that I'm under."
Campaign Response
Speaking after the committee meeting, WASPI campaign chair Angela Madden commented: "We didn't expect much from the committee meeting because it's more to do with the performance of the DWP." She added: "Our focus will remain on encouraging the minister to implement the Ombudsman's recommendations in full rather than picking or choosing."
Government Statement
A DWP spokesperson provided an official statement regarding the ongoing process: "Last month we committed to retake the decision and as set out, we will do so within the three-month period. This should not be taken as an indication that Government will necessarily decide that it should award financial compensation."
The statement emphasises that while the government is formally reviewing its position, this does not guarantee that financial compensation will ultimately be awarded to affected women. The three-month review period represents a significant development in the long-running campaign for justice for women whose retirement plans were disrupted by pension age changes.
