Urgent DWP State Pension Warning for All WASPI Women | Personal Finance

Lord Davies of Brixton has raised the alarm in the House of Lords and urged the Department for Work and Pensions (DWP) to “recognize the need for urgency” in considering the final report of the Parliamentary and Healthcare Ombudsman (PHSO). The report calls for compensation for millions of women born in the 1950s who have been affected by changes in their lives State pension age.

He stressed that the continued delay “leaves affected people prey to scammers, who offer to help them make claims” and stressed that “this matter must be resolved as quickly as practicable”. The Labor peer also pointed out that the Ombudsman has “made it clear that these women suffered from mismanagement and that they are entitled to redress”.

Baroness Sherlock, the Parliamentary Under Secretary of State for Foreign Affairs DWPclarified the situation in response: “To be clear, because there has been no response to the report, there is no compensation scheme. Anyone claiming to offer it is a scam and no one should touch it – please may that message be loud and clear.”

She further assured that the British government is “monitoring the ombudsman’s findings very closely and will respond as quickly as possible.”

The women against State pension Inequality (WASPI) campaign has raised the alarm about a “deeply worrying” wave of fraudulent compensation forms circulating online. Last summer, WASPI announced that several unofficial websites had emerged falsely offering promises to women affected by the abrupt changes in legislation. State pension age at which they could claim up to £2,950 based on their situation, it reports the Daily Record.

Campaigners have warned that these sites, apparently from abroad, are deceptively luring women born in the 1950s with the prospect of payouts through compensation forms, but in reality they are heartless scammers targeting the elderly. The PHSO report released on March 21 clearly stated that “Parliament must urgently identify a mechanism to provide that appropriate solution” and proposed compensation at level four of its size, worth between £1,000 and £ 2,950.

As no official compensation scheme has been declared, any website offering help with claims is fraudulent and should be reported to Action Fraud. Scottish pensioners who have been duped by this scam are advised to contact Police Scotland on 101.

Just this week, Pensions Minister Emma Reynolds acknowledged this DWP is actively considering “the costs of setting up a compensation scheme” for those affected.

In a detailed response to Steve Darling, the Liberal Democrat spokesman for shadow work and pensions, Pensions Secretary Ms Reynolds clarified on Tuesday that the Department for Work and Pensions (DWP) had identified additional costs when examining the Ombudsman’s investigation and report. She said: “As part of our work on the Ombudsman’s investigation and report, we have considered the costs of setting up a compensation scheme.”

The Pensions Minister further noted: “The Ombudsman has taken advantage of DWP‘s broad estimates in their report, published on March 21, 2024, which states that “compensating all women born in the 1950s at level 4 would mean saving between £3.5 billion and £10.5 billion in public resources would be spent’. This estimate does not include administration costs.”

Ms Reynolds also said: “This government is giving its full attention to all parts of the Ombudsman’s report.”

She concluded: “Once this work is done, we will be able to outline our approach.”

Mr Darling had asked whether the DWP had created financial models for a possible compensation scheme in response to the issues highlighted in the PHSO’s final report.