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Government to rethink rejection of Waspi compensation.

by Michael Brown - Business Editor
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Government to Reconsider State Pension Age Compensation for Women

The government announced today it will revisit its decision to deny compensation to women affected by accelerated changes to the state pension age, following the emergence of previously undisclosed evidence.

Campaigners estimate 3.6 million women born in the 1950s were inadequately informed about the increase in the state pension age, designed to align it with men’s. Last year, the government apologized for a 28-month delay in sending notification letters but rejected financial redress. The reconsideration stems from a 2007 survey that was not presented to the then-Work and Pensions Secretary, Liz Kendall, at the time of the original decision.

Current Pensions Secretary Pat McFadden informed the House of Commons that re-examining the decision does not guarantee compensation will be awarded. “Retaking this decision should not be taken as an indication that government will necessarily decide that it should award financial redress,” he stated. He added that checks are underway to ensure no other relevant documents were overlooked. This issue has significant financial implications for millions of retirees and their families. Angela Madden, chair of Women Against State Pension Inequality (Waspi), welcomed the move, saying, “The government now knows it got it wrong and we are pleased they are now trying to do it properly.” Waspi is currently pursuing a judicial review of the government’s initial decision.

A parliamentary ombudsman previously recommended compensation ranging from £1,000 to £2,950 per affected woman, but the government argued there was no evidence of direct financial loss and that a flat-rate payout of up to £10.5 billion would be unfair to taxpayers. The state pension age is currently 66 for both men and women, a change implemented over time following the 1995 Pensions Act and accelerated by the 2011 Pensions Act. For more information on state pension eligibility, visit the government website.

The government has informed the High Court of its decision, where the case was scheduled to be heard in December. Officials stated they understand the urgency of the matter and will give it “full and appropriate consideration.”

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