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The Work and Pensions Secretary said some so-called “Waspi women” had “not been wronged at all” and it could be unfair to pay them compensation.
Mel Stride said there was no deadline yet for action on a parliamentary report which recommended the government should pay out benefits to women born in the 1950s who were unaware of the state pension age increase.
But he noted that those who had taken a direct financial hit because their retirement plans were based on receiving their pension at age 60, and those who had known about the change in advance and planned accordingly. He suggested that there should be a distinction between
Mr Stride told the House of Commons Work and Pensions Committee that he was still grappling with some of the issues raised in a report published by the Parliamentary and Health Ombudsman in March.
He said: “For example, the Ombudsman himself cites the fact that there are many women who fall into this category, but there are many women who were born in that period who were not treated unfairly, or in other words, women who were treated unfairly. What would you do? Were you fully aware of the change of arrangement at that time?”
The minister said in a recent debate in the House of Commons that some MPs would compensate affected women for the full amount of income they would have received had the state pension age not been raised. He said the cost could reach £50bn.
He further added: “If you are proposing that everyone should be included in this rules-based system, then there will inevitably be a significant proportion of people who are not wronged at all, but What do you make of the fact that the cap proposed in that discussion would represent a significant portion of the £50bn cost?
“So these are the things that one has to conjure up, along with many other contingencies, in order to arrive at something that is fair, acceptable, and correct. So it is a challenge.”
Under heavy pressure from MPs, the Prime Minister also promised an overhaul of Personal Independence Payment (PIP) and suggested all options were on the table.
Mr Stride said a “one-off grant” to help disabled people with the adaptation costs they need to live with their condition would be considered as part of a new scheme to replace regular payments. admitted that it was. However, he added that the final policy decision could be very different.
He said: “The PIP consultation is not just about whether to change PIP payments to a one-off grant, although that is one of the elements that is frequently touted in the public domain. “There are all sorts of different changes possible.” Or it could be undesirable, and the grant could be one of those things that we don’t think is appropriate, but it’s an option for a lot of people. ”
Chancellor of the Exchequer Rishi Sunak announced an overhaul of PIP last month but details are still being consulted. PIP is paid to people with a disability whether they are in work or not.