A COMPREHENSIVE investigation by the Parliamentary and Health Service Ombudsman has found that thousands of women may have been affected by DWP’s failure to adequately inform them that the State Pension age had changed. 

The 1995 Pensions Act and subsequent legislation raised the State Pension age for women born on or after 6 April 1950. We investigated complaints that, since 1995, DWP has failed to provide accurate, adequate and timely information about areas of State Pension reform.

The final report combines stages two and three of our investigation. It both considers the injustice resulting from the maladministration we identified during stage one and also sets out our thinking about remedy.

To date, DWP has not acknowledged its failings nor put things right for those women affected. DWP has also failed to offer any apology or explanation for its failings and has indicated it will not compensate women affected by its failure.

DWP’s handling of the changes meant some women lost opportunities to make informed decisions about their finances. It diminished their sense of personal autonomy and financial control.

However the 1950s women have said today they were floored by the insult of a compensation package proposed for women born in the 1950s, who were not told about a change to their state pension age.

The Parliamentary and Health Service Ombudsman urged government to ‘do the right thing’ today by establishing a scheme suggesting compensation ranging from £1000 to £2950. 

1950s women’s groups have long argued that their retirements were ruined by government changes to the state pension age, with the majority not receiving any notice or letter about the changes, which has cost many 50s women between £45,000 to £55,000.   For Pembrokeshire campaigners they’ve spent more than the proposed offer on train tickets to rallies at the Senedd, Westminster and Political Party conferences over the last 8 years!! 

However, today the government has said it will look in detail at the report from the PHSO, where the watchdog urged it to ‘act swiftly’.

The PHSO investigation has been flawed and full of irregularities and mistakes since its inception as it failed to take into consideration proven discrimination and only investigated partial maladministration.  Even after stage 2 the Ombudsman had to be challenged as it was deemed legally flawed.  The announcement today was as expected and the report is virtually the same as the draft report published in November.  

As Hon Dr Jocelynne Scutt stated “50s women are faced with a Government that ignores its legal responsibilities & lacks compassion. Many have died, many living in poverty, & all have suffered & continue to suffer the wrong of injustice.  Action is needed to right this grievous wrong”

We know the Judge’s Report addresses both direct and indirect discrimination on the grounds of age and sex, finding both proven in relation to 1950s-born women. It also addresses maladministration, finding it also proven in relation to the conduct or failure of the Department of Works and Pensions.

PHSO Chief Executive Rebecca Hilsenrath, said:  “The UK’s national Ombudsman has made a finding of failings by DWP in this case and has ruled that the women affected are owed compensation. DWP has clearly indicated that it will refuse to comply. This is unacceptable. The Department must do the right thing and it must be held to account for failure to do so.  

“Complainants should not have to wait and see whether DWP will take action to rectify its failings. Given the significant concerns we have that it will fail to act on our findings and given the need to make things right for the affected women as soon as possible, we have proactively asked Parliament to intervene and hold the Department to account.

“Parliament now needs to act swiftly, and make sure a compensation scheme is established. We think this will provide women with the quickest route to remedy.”  

The investigation has been complex and involved analysing thousands of pages of evidence. On a number of occasions, parties were allowed additional time to consider and comment on our views. We also agreed last year to look again at part of our stage two findings following a legal challenge. All of this resulted to delays in the final report.

The report has been laid before Parliament, with a request that it looks at our findings and intervenes to agree a remedy for the women affected. While Parliament will make its own decisions about rectifying the injustice, we have shared what we consider to be an appropriate remedy. In addition to paying compensation, we have made it clear that DWP should acknowledge its failings and apologise for the impact it has had on complainants and others similarly affected.

The Ombudsman has received a series of complaints relating to how well DWP has communicated a variety of State Pension reforms. Concerns about communication of changes to the State Pension age constitute only one such area of complaint. The Department has also declined to act on other issues that have been consistently highlighted in complaints. A report from the Ombudsman later in the year will set these out.