State Pension Age (Women)

Gavin Newlands Excerpts

Thursday 7th January 2016 Commons Chamber

[Gavin Newlands (Paisley and Renfrewshire North) (SNP)]

I congratulate my hon. Friend the Member for Paisley and Renfrewshire South (Mhairi Black) on bringing this debate to the House through the Backbench Business Committee, and on opening it so powerfully.

From my experience of meeting my constituents at surgeries, I have learned of women affected by this cack-handed change by the Government who are living in damp housing, unable to afford the necessary housing repairs, and I have heard harrowing stories of marriages breaking up due to the financial pressures forced on them through no fault of their own.

During my research on the issue, I met WASPI and I thank them for not only meeting me and my hon. Friend the Member for Kilmarnock and Loudoun (Alan Brown), but for their tireless work in campaigning to right this injustice. WASPI has expressed several concerns about the implementation of the 1995 and 2011 Pensions Acts, mainly, although not exclusively, about communication and timescales.

[Drew Hendry]

Does my hon. Friend agree that it is ridiculous that women should have such short notice, or no notice? One of my constituents found out that she had an extra six years to wait not through a letter from the Government but from her insurance salesman.

[Gavin Newlands]

I could not agree more. I have received an email in the past hour from a constituent who turned 60 in March and was not aware of the changes and is coming to meet me tomorrow at a surgery. The problem is still going on.

My shorter contribution to the debate will centre on fairness. I believe that it is fair that both sexes will receive their state pension at the same age, but the rapid rise in the age of eligibility for the state pension has been unfair for hard-working men and women who have paid into a system all their lives in good faith.

[Patricia Gibson]

Does my hon. Friend agree that the changes to the state pension mean that women are finding out that retirement is four, five and six years further away than they thought and that that not only leads to financial difficulties but is cruel and heartless? It happens in the context of a lifetime of low pay and inequality faced by far too many women.

[Gavin Newlands]

I am pleased my hon. Friend has made that point for me. Given the time limit, I had to delete that section of my speech.

Hard-working men and women have paid into the system expecting, in good faith, the state to help to support their retirement. The combination of equalisation and increasing the pension age has been devastating for some women.

As I have said, WASPI has no problems with the principle of the policy; rather, it has problems with its implementation. These rapid and rushed changes have had a significant impact on a large group of women: 2.6 million women, if we accept the Department for Work and Pensions estimates. The changes have meant that some women may have to wait an additional six years to receive a state pension. From the first day of their working lives, these women have been advised to plan accordingly. At the very last minute, the Government have altered the plans that these women have had for years. This, in essence, is why the women affected feel deeply aggrieved and betrayed by the actions of subsequent Governments.

The Secretary of State for Work and Pensions, in answer to my written question on the communication of the changes to the pension age entitlement, replied that the DWP wrote to all individuals directly affected to inform them of the changes to their state pension age. However, from speaking to WASPI and local constituents this does not appear to have happened on the scale or to the degree that the Secretary of State indicated. I have spoken with women affected. They have said they received the DWP letter far too late, with only a few months’ notice of the increase in the pension age. I have also heard of letters sent to wrong addresses. In one case, unfortunately, a constituent who came to my surgery—another is coming in tomorrow—had no knowledge whatever of the changes.

It has come to light that the UK Government informed a large number of women affected only 14 years after the changes were made.

[Alison Thewliss]

Does my hon. Friend agree that there has almost been some maladministration? I have just heard from my constituent, Susan Casey, who received a letter when she turned 50 to say that her retirement age would be in 2014. She was born in 1954. It is most unfair not only that she has been losing out, but that she has been misinformed.

[Gavin Newlands]

Absolutely. This seems to have happened to a whole a catalogue of women. It is an absolute disgrace.

We encourage individuals to plan for the future, but if during their working lives the Government make changes to the state pension, it is only appropriate and fair that the Government communicate them adequately to allow people to re-plan financially for their retirement. I phoned one of my constituents yesterday and asked her how she would like the Government to respond to this issue. Her request was simple: she wants the Government to accept that they made a mistake with how hard and how fast the changes were introduced. That should not be a difficult concession for the Government to make, as the previous Pensions Minister himself has already accepted that mistakes were made.

It is important for the Government to learn from the mistakes they have made and to review how the changes were introduced. We need clearer channels of communication between the DWP and individuals when it comes to pensions. I hear all too often that the information the DWP sends out is confusing and unclear. I would ask that the current Government sit down with WASPI and consider ameliorating some of the financial stress that the changes have brought, and perhaps extend the timeframe.

We know the problem. We cannot sit idly by and allow cack-handed policy implementation from subsequent UK Governments to devastate the lives of so many people who have worked so hard for so long. The Government cannot shirk their obligations. They must accept responsibility, apologise and correct this as a matter of urgency. Ignorance will simply not suffice.

[Several hon. Members rose—]