State Pension Age: Women

Lindsay Hoyle Excerpts

Wednesday 30th November 2016 Commons Chamber

[Ian Blackford]

On a point of order, Mr Deputy Speaker. We are being traduced by the hon. Gentleman. For clarification, this matter was in our manifesto, and perhaps the hon. Gentleman will correct what he has said.

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

I think we all know that that is not a point of order, but, not to worry, it has been put on the record.

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[Several hon. Members rose—]

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

Order. The good news is that I must reduce the speaking time to four minutes so that everyone can speak for the same amount of time.

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[Graham Evans]

I do not agree, because, to be fair to the DWP, it has communicated with people. I think it could communicate better, as I have just described, but following the 1995 Act the Department issued a leaflet, among other press and publicity measures including direct mailings, to advise the public of the changes. In 2004, during the 13 years of Labour Governments, the DWP ran an information campaign distributing more than 2 million pension guides alongside adverts in the press and women’s magazines to complement an interactive online state pension calculator. In addition, all state pension statements issued from 2001 would have included as standard the new state pension age as determined by the 1995 changes. Since then, more than 11 million statements have been issued.

The Government have been notifying women of the changes. Those most affected by the 2011 changes were written to directly. That involved sending out more than 5 million letters between January 2012 and November 2013. Research carried out by the DWP found that 6% of women who were within 10 years of pension age thought that their state pension age was still 60. However, those efforts were not wholly successful. Had they been, we would not be here now debating this subject. There are lessons to be learned by Governments of all colours, present and future, on effective communication of such important matters. Those who planned for their retirement want to live the retirement they planned for.

After the 2011 changes, the Government passed an amendment to the Bill that provided £1.1 billion-worth of transitional funding, delaying the equalisation of the state pension age. We have already considered this matter and taken mitigating action. The new state pension has been brought forward a year and many women will be significantly better off than they would have been. By 2030, more than 3 million stand to get an extra £550 a year. Likewise, the introduction of the triple lock, which ensures that the state pension rises by inflation, wages or 2.5%, whichever is greater, ensures that the basic state pension will be over £1,100 a year higher than it was at the start of the last Parliament.

To undo the 2011 changes would cost £30 billion in addition to the loss of £8 billion in tax revenue. To undo the 1995 changes—

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

Order.

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[David T. C. Davies]

I am not giving way.

I remind Opposition Members that it was a Conservative Government who equalised the voting age between men and women; that the first female MP to take her seat was a Conservative; that the Conservative party—

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

Order. Stopped in your prime, Mr Davies.