State Pension Changes: Women

Amy Callaghan Excerpts

Tuesday 12th March 2024 Westminster Hall

[Jim Shannon]

Thank you, Sir Gary. I wholeheartedly agree with the hon. Gentleman. Yes, there is maladministration, and I will use that word again shortly.

Many of the women concerned may not have been actively engaged with Government or have had knowledge of or access to Government publications. In that case, how could they have been informed to an extent that would have made a difference? That is the crux of the matter and of the debate, and it is why we are all here. This is about equality for women, and there has been a level of unfairness in the pensions system.

It is important to remember that women born in the 1950s entered a labour market and a society that was different from what young women experience today. They began working in the 1960s, in their teens, in a workforce where women were paid less than men and were expected to leave their jobs when they married or began a family.

[Amy Callaghan (East Dunbartonshire) (SNP)]

I congratulate the hon. Gentleman on securing the debate and on his powerful opening speech. I am sure he will agree that it is important that we get on the record from the Minister today that the Department for Work and Pensions accepts the findings in the stage 1 report of maladministration. Most importantly, it must also act swiftly to compensate the women and the families of the women who have passed while waiting for compensation.

[Jim Shannon]

I thank the hon. Lady for that intervention. Everybody’s interventions so far have added to the debate and reinforced the issue.

Back when ladies started to work, there were no remunerated childcare schemes and it was not standard practice for ladies to be offered access to work pension schemes.

With all due respect to the Minister, the DWP has fallen down on this matter. The Department admitted in 2009 that direct communication with those affected by increases in the state pension age was limited. In 1995, leaflets explaining the changes were available from the Benefits Agency, but only on request. In other words, if someone wanted to know anything—if they even knew to ask—that is what they should have asked for. The fact is that the DWP has a responsibility.

Some 16 million voluntary letters were issued in the form of automatic pension forecasts projecting state pension entitlements, including to women aged over 50 at the time. Those letters did not include any details of state pension age or mention that it was changing, so those women were not fully notified. That is what this debate is about. When we look back specifically to the years between 1995 and 2000, we are reminded that we lived in a relatively pre-internet world, where information was not so readily available at the click of a button and social media did not exist. In the late 1990s, we had only five TV channels, and 24-hour broadcasting was still a thing of the future.

The DWP survey of 2004 asked working-age adults about awareness of state pension age equalisation. The results showed that, of those who were aware, 47% got their information from TV advertising, 37% were informed by reading a newspaper and only 2%—only 2%—cited the Pension Service as their source of information. The Pension Service had the responsibility, and it failed badly. Some 98% of those who qualified did not even know from the state Pension Service what should have been happening. That is a massive issue, and it has to be addressed. Furthermore, despite the efforts made through television and newspaper advertising, access to what we see now as the most basic avenues of communication was limited for women who were not securely housed or in unstable domestic environments.

WASPI women deserve to be compensated for the injustice they have had to face, and that compensation should be based on the principles of recognition, restitution and reconciliation. We could call them the three Rs—it is almost like going back to school—but here they apply to the WASPI women and pensions.

The first principle of compensation is recognition, and quite clearly there is a lot to do. The Government should acknowledge the harm and suffering caused by the changes to the state pension age, the inadequate communication of those changes and the failure to consult the women concerned for the reasons I have outlined. Recognition is important for restoring the dignity and trust of these women and for validating their experiences and grievances. It is also a precondition of achieving justice and reconciliation, as it shows that the Government are willing to take responsibility and to make amends for their actions. That is what this is about.

To date, there has been resistance to offering a formal apology to the WASPI women, and the Government have argued that the actions that were taken were lawful and reasonable. Let us be quite clear: they were not. That stance has been challenged by the PHSO, which found in 2021 that the Department for Work and Pensions had committed maladministration, as the hon. Member for Denton and Reddish (Andrew Gwynne) referred to in an intervention.

The PHSO also found that, by failing to act quickly enough to inform the women about the changes to their state pension age, the DWP had not given due regard to the impact of the changes on the women’s lives and offered them no adequate support or guidance. The PHSO recommended that the Government should apologise to the women and pay them compensation for the distress and inconvenience caused by the DWP’s maladministration —I use that word because it is the right word; it describes exactly what happened.