WASPI women: compensation calls explained, latest pension news, age, meaning, what it stands for - am I one?

The Parliamentary and Health Service Ombudsman (PHSO) has said that individuals impacted by changes to women's state pension age should receive compensation because the Department for Work and Pensions (DWP) did not properly notify them of the changes.

The Ombudsman has requested that Parliament step in and "act swiftly" to ensure that a compensation plan is put in place. It said the DWP has not yet admitted to its mistakes or made amends for the people affected.

Its investigation found that thousands of women may have been affected by DWP’s failure to adequately inform them that the state pension age had changed.

The 1995 Pensions Act and subsequent legislation raised the state pension age for women born on or after April 6 1950.

The ombudsman investigated complaints that, since 1995, the DWP has failed to provide accurate, adequate and timely information about areas of state pension reform.

The DWP’s handling of the pension age changes meant some women lost opportunities to make informed decisions about their finances. It diminished their sense of personal autonomy and financial control, the ombudsman said.

In addition to paying compensation, the ombudsman made it clear that the DWP should acknowledge its failings and apologise for the impact it has had on complainants and others similarly affected.

It's the latest twist in the saga of the WASPI women who have campaigned for justice and compensation. But just who exactly are the WASPI women, and what will the latest findings mean for their cause? Here is everything you need to know.

Who are 'WASPI' women?

"WASPI" stands for Women Against State Pension Inequality, and refers to a group of women in the UK who were born in the 1950s and have been adversely affected by changes to the state pension age.

The issue revolves around changes made to the state pension age for women, which were implemented by the UK government with the aim of equalising the pension age between men and women.

Historically, the state pension age for women in the UK was 60, while for men it was 65. However, changes introduced by successive governments, starting in 1995 with the Pension Act, aimed to gradually increase the state pension age for women to bring it in line with that of men.

These changes were further accelerated by the Pensions Act 2011, resulting in a significant increase in the state pension age for many women born in the 1950s.

One of the key grievances of WASPI women is that they were not given sufficient notice of these changes, leaving many of them with inadequate time to plan and prepare for their retirement.

The changes were implemented with relatively short notice, often just a few years before the affected women were due to retire, leaving them with significantly reduced incomes during what they had expected to be their retirement years.

Many of these women had expected to retire at the age of 60, based on the previous state pension age, and had made financial decisions accordingly.

For many, the sudden increase in the state pension age meant having to continue working for longer than planned, often in physically demanding jobs that they may have struggled to continue with as they got older.

Others have been forced to rely on alternative sources of income, such as savings or private pensions, which may not be sufficient to maintain their standard of living in retirement.

Despite this, the UK government has so far resisted calls to provide compensation or transitional arrangements for affected women, arguing that the changes were necessary to ensure the long-term sustainability of the state pension system.

How old are WASPI women?

The exact age of someone who could be considered a 'WASPI' women depends on that person's specific birth year, but WASPI women who were born in the 1950s would be in their late 60s to early 70s today.

What does the PHSO's report mean for them?

The Parliamentary and Health Service Ombudsman's investigation found that thousands of women may have been impacted by the DWP's inadequate communication of changes to the state pension age.

The ombudsman looked into claims that, since 1995, the DWP had not given timely, correct or adequate information about state pension reform.

Some women were deprived of the chance to make well-informed financial decisions due to the DWP's handling of the changes, which - according to the Ombudsman - lessened their sense of financial and personal control.

The Ombudsman made it apparent that in addition to offering compensation, the DWP needed to acknowledge its mistakes and apologise for the harm it caused to the complainants and other individuals who were impacted.

What happens next?

The ball is firmly in Parliament’s court to deliver justice for women affected by the state pension age change, a leading campaigner has said, as WASPI chairwoman Angela Madden called for a “proper compensation package” for those who had been affected over the years.

She said: “Now that the PHSO (Parliamentary and Health Service Ombudsman) findings have at last been published, all parties owe it to the women affected to make a clear and unambiguous commitment to compensation."

Compensation of at least £10,000 must be agreed for women affected by the pensions changes, a Conservative MP has said.

Peter Aldous, vice-chairman of the State Pension Inequality for Women APPG (All-Party Parliamentary Group), said “compensation in line with Category 6 injustice must be agreed by Parliament”. Level 6 compensation is £10,000 or more.

Aldous said: “In line with the report submitted by the State Pension Inequality for Women APPG to the PHSO in 2022, compensation in line with category 6 injustice must be agreed by Parliament. The campaign for justice for 1950s women goes on until Parliament reaches the right conclusion.”

But Downing Street has so far declined to comment on the Ombudsman’s report on the handling of changes to women’s state pension age.

The Prime Minister’s official spokesman said: “We obviously understand the close interest in this and you will appreciate this report has only just been published.

“The Government will now consider the ombudsman’s report and respond to their recommendations formally in due course, and we will also co-operate with the parliamentary process as we have done throughout with the ombudsman."

Work and Pensions Secretary Mel Stride is likely to appear in the House of Commons before the Easter recess to address the ombudsman’s recommendations, Penny Mordaunt has suggested - the Commons Leader said her colleague “will want to come to the despatch box”.