The DWP’s decision not to grant compensation to 1950s-born women will particularly infuriate WASPI campaigners (Women Against State Pension Inequality) as Prime Minister Keir Starmer previously backed their cause.
Speaking in a radio interview in July 2022, he said there was a “real injustice” on how the women had been treated, after they were not properly advised by the DWP of the increase of the state pension age, from 60 to 65.
Expressing his sympathy for their cause, the then-opposition leader said: “All your working life you’ve got in mind the date on which you can retire and get your pension, and just as you get towards it, the goalposts are moved and you don’t get it, and it’s a real injustice.
“We need to do something about it. That wasn’t the basis on which you paid in or the basis on which you were working.”
He went on to accuse the then-Conservative Government of putting “its fingers in its ears”. But Labour work and pensions secretary, Liz Kendall, said today (December 17) there would be “no scheme” for compensation, as it “isn’t fair or value for taxpayers’ money”.
This was despite a Parliamentary and Health Service Ombudsman report that came out in March, recommending payouts of between £1,000 and £2,950.
Ms Kendall argued that “the vast majority” of the women knew the state pension age was increasing, so it would not be right to have a flat compensation payout.
After her announcement, the disappointed WASPI campaigners shared a picture of Ms Kendall holding a sign stating: “I will work with WASPI to identify a fair solution for all women affected.”
They campaign group said: “Hard to see how your statement refusing #WASPI women justice today is a ‘fair solution’.”
Angela Madden, chair of the WASPI campaign, said: “This is a bizarre and totally unjustified move which will leave everyone asking what the point of an Ombudsman is if ministers can simply ignore their decisions. It feels like a decision that would make the likes of Boris Johnson and Donald Trump blush.”
Ms Kendall said the Government would be sure to provide “clear and sufficient” updates on future changes to the state pension age, which is scheduled to increase from the current 66 to 67 and then to 68.
But Ms Madden was unimpressed with this promise, saying: “The idea that an ‘action plan’ to avoid such mistakes in future should be the result of a six-year Ombudsman’s investigation is an insult both to the women and to the PHSO process.
“An overwhelming majority of MPs back WASPI’s calls for fair compensation and all options remain on the table. Parliament must now seek an alternative mechanism to force this issue on to the order paper so justice can be done.”
Several political parties have consistently supported WASPI compensation, including the Liberal Democrats, the SNP and the Green Party.
Big name Labour MPs who previously backed the cause include work and pensions minister, Sir Stephen Timms, and chair of the Work and Pensions Committee, Debbie Abrahams.
