Social Justice Secretary Shirley-Anne Somerville will tell MSPs that the UK Government should ensure justice for 1950s-born women who have been affected by changes to their State Pension age, in a Holyrood debate on Tuesday. Ms Somerville is also expected to call on the UK Government to compensate Women Against State Pension Inequality (WASPI) women as recommended by the Parliamentary and Health Service Ombudsman (PHSO).
Speaking ahead of the debate, Ms Somerville said: “This issue has affected 336,000 women in Scotland who deserve to be fairly compensated for the mistakes of the UK Government. It is vital that the UK Government and DWP (Department for Work and Pensions) take responsibility for these failings and this includes delivering a full compensation package at the earliest possible time.”
The Minister added: “I call on the UK Government to listen to the WASPI women’s call for comprehensive compensation, taking into account the financial hardship suffered, coupled with the UK having one of the worst gender pension gaps in the OECD.”
An estimated 3.6 million women have been affected by rises to the State Pension age by successive governments, including 331,780 living in Scotland, according to new data obtained by the Scottish Liberal Democrats.
The State Pension policy change was first announced in the 1990s to bring women’s retirement age in line with men. This was later accelerated under the coalition government, over a decade ago, however, there was a 28-month delay in writing to inform them of the changes.
Campaigners, led by the WASPI group, have claimed women suffered financial hardship and had to rethink retirement plans.
After a six-year investigation, the PHSO’s final report, published on March 21, 2024 stated that “Parliament must urgently identify a mechanism for providing that appropriate remedy” and recommended compensation equivalent to level four on its banding scale, which is worth between £1,000 and £2,950.
However, on December 17, Work and Pensions Secretary Liz Kendall addressed Parliament and told MPs there would be “no scheme of financial compensation” as the UK Government could not afford the £10.5 billion bill.
However, she acknowledged there was maladministration by the DWP and apologised to all women impacted by changes to their retirement age on behalf of the UK Government.
Shetland MSP Beatrice Wishart said women have been “betrayed” by the UK Government and its decision not to provide a compensation scheme.
She continued: “The UK Government has turned its back on millions of women who were wronged through no fault of their own, ignoring the independent Ombudsman’s recommendations, and that is, frankly, disgraceful.
“For years, Liberal Democrats have pushed the government to fairly compensate Waspi women in line with the Ombudsman’s recommendations. The Conservatives left our economy in a shambles but pensioners shouldn’t be asked to pay the price. The Liberal Democrats will fight for WASPI women.
“The UK Government must urgently change course and rethink this shameful decision.”
A Government spokesperson tod the PA news agency: “We accept the Ombudsman’s finding of maladministration and have apologised for there being a 28-month delay in writing to 1950s-born women.
“However, evidence showed only one in four people remember reading and receiving letters that they weren’t expecting and that by 2006 90 per cent of 1950s-born women knew that the State Pension age was changing.
“Earlier letters wouldn’t have affected this. For these and other reasons the government cannot justify paying for a £10.5 billion compensation scheme at the expense of the taxpayer.”