Watchdog fears ministers will ignore call for pension payouts

MILLIONS of women should be given compensation "as a matter of urgency" over state pension age changes.

- Sam Lister

A blistering report found those born in the 1950s were not properly informed the age they could retire was rising.

But the Parliamentary ombudsman fears its calls for payouts of up to £3,000 each will be ignored by the Department for Work and Pensions.

Former Coalition pensions minister Sir Steve Webb, now a partner at pension consultants LCP, said the Government must sort it out urgently.

He said: "When Parliament sets up an independent ombudsman process it is vital that the Government abides by its findings.

"It is well over a decade since the Government realised many women were unaware of state pension age changes but did nothing about it. So there should be no further delay.

"If the Government's position remains that no compensation is due, I cannot believe they will get the support of Parliament.

"It would be better for them to come up with a resolution scheme as a matter of urgency."

The Parliamentary and Health Service Ombudsman investigated potential injustices caused by the move to raise the women's retirement age to bring it into line with men's.

It said the pensioners affected known as the Waspi women after the campaign Women Against State Pension Inequality - "lost opportunities to make informed decisions about their finances".

But the ombudsman fears the DWP will not follow its recommendations on compensation as so far it has "clearly indicated it will refuse to comply".

Baroness Altmann, a former Tory pensions minister, said: "A cross-party remedy is needed and needed quickly. These women have waited long enough.' Waspi chairwoman Angela Madden called for a "proper compensation package".