Thousands of older women have been stung by pension underpayments (Image: Getty) Around 150,000 Brits are in the midst of a state pension crisis due to underpayments, according to startling new figures from the Department for Work and Pensions ( DWP ). The DWP annual report revealed almost 200,000 mothers have not been getting their full pension entitlement for years. Experts allege the issue is being dealt with at a "snail's pace".
function loadOvpScript(){let el=document.createElement('script');el.setAttribute('src','https://live.
primis.tech/live/liveView.php?s=114945&playerApiId=v114945');document.
getElementById('ovp-primis').appendChild(el)}window.top.
addEventListener('primisPlayerInit',e=>{try{if(e.detail&&e.detail.
playerApiId==="v114945"){if(window.document.getElementsByClassName('jwplayer')[0]){e.
detail.float('disable')}}}catch(e){}});window.addEventListener('DOMContentLoaded',()=>{setTimeout(()=>{if(typeof flagTcfLoaded!=='undefined'&&flagTcfLoaded===!0){loadOvpScript()ExpressApp.
Log('[Load] OVP flagTcfLoaded',new Date())}else{document.addEventListener("tcfLoaded",()=>{loadOvpScript()ExpressApp.Log('[Load] OVP tcfLoaded',new Date())})}},1500)}) The issue stems from the Home Responsibilities Protection (HRP), a scheme designed to protect stay-at-home parents' pensions replaced by national insurance credits in 2010.
For those claiming Child Benefit before the year 2000, claimants did not have to include their National Insurance number. That affected their HRP and meant they received less than they were suppposed to. READ MORE Canary Islands panic as British tourists to be hit by Gran Canaria tax Mainly older women are affected (Image: Getty) Despite HMRC writing to those hit by the shortfall, the DWP 's annual report noted that it had only assessed 419 cases out of around 194,000.
The estimated total payout will be around £1.15bn, however so far only £2.2m has been paid.
Sir Steve Webb, ex-pensions minister and LCP partner, explained the situation. He said: “Once the government realised that nearly 200,000 mothers may have been underpaid their state pension , action should have been taken to fix the problem with much greater urgency, especially as many of those who have lost out are now elderly. Don't miss.
.. Expat names 'brilliant' must-visit EU city that's 'so beautiful it made me cry' [TRAVEL] UK town named best place to retire as average house price falls below £250k [LATEST] The beautiful European island named 'best in the world' to retire on [WORLD] Thousands of those affected are no longer alive (Image: Getty) Trending SUBSCRIBE Invalid email We use your sign-up to provide content in ways you've consented to and to improve our understanding of you.
This may include adverts from us and 3rd parties based on our understanding. You can unsubscribe at any time. Read our Privacy Policy "Instead, DWP has so far assessed fewer than 500 cases out of that total, and the exercise is proceeding at a snail’s pace.
"When the Government talks about continuing the exercise into 2027/28 it is clear that this issue is not getting the priority that it deserves”. According to the DWP , of the estimated 194,000 who were underpaid, only 151,000 are still alive. Related articles Brits 'sleepwalking into retirement crisis' urged to make use of this tax relief Beat Labour’s tax raid by taking state pension out of your personal allowance WASPI women issue promising latest state pension update over government meeting Keir Starmer accused of U-turn on vow to scrap his own pension tax perk Reeves’s slavish devotion to fiscal rules means minimal growth and high taxes.
