Transitional State Pension Arrangements for Women

Mark Durkan Excerpts

Monday 1st February 2016 Westminster Hall

[Mark Durkan (Foyle) (SDLP)]

It is a pleasure to serve under your chairmanship, Mr Hanson. I commend the hon. Member for Warrington North (Helen Jones) for introducing the debate so strongly on behalf of the Petitions Committee. I join other hon. Members in praising WASPI for the great effort it has put into this petition. I know that the campaign will continue well beyond today, which has to be encouraged. Despite some of what WASPI has heard today, it can take great encouragement from many of the points raised on both sides of this room.

All hon. Members have said that this issue represents a breach of trust, or a breach of contract, and we need to address it in those terms. Parliament, in particular, needs to understand that we cannot see this just as a DWP issue, or just as an issue for Ministers; it is a test of this Parliament. We cannot say that the previous Parliament passed this and that there is nothing we can do about it, as some Members seemed to imply—they seemed to suggest, “Well, this legislation was passed in 2011, and we can’t really pass new legislation.”

In the main Chamber today other hon. Members are considering the Second Reading of a Bill that will change two pieces of legislation that went through in 2012 and 2013 and will significantly change the governance furniture on financial services and the Bank of England. If those key pieces of Government legislation from the previous Parliament have to be overhauled and changed now, there is absolutely no reason why the same cannot be done for the Pensions Act 2011, particularly on this glaring issue, when even the Minister who steered the legislation through the House says that he did not understand it and was not well advised. An hon. Member talked about the fog created around this petition, but it seems that the fog was actually in the DWP in 2011. Parliament was lured into that fog on the basis that there was nothing we could do about it and that the one transitional adjustment that could be made was being made—that was the adjustment that cost £1.1 billion a year. The Government rejected the other proposals.

When people talk about the new state pension costing £30 billion, that was the total quantum identified as, in effect, the saving from the change. We need to remember how the argument about that £30 billion has been reversed and misargued today. Let us remember that, when we had those debates and discussions back then, we did not have the pension freedoms on the horizon. I take the point raised by the right hon. Member for Slough (Fiona Mactaggart) that it should not be used as an answer to the problem faced by these women born in the 1950s, but—let us face it—the Government now have a tax windfall from the pension freedoms. Money is coming in to the Government well ahead of time, and that was not available back in 2011.

Similarly, the Government have moved to introduce a number of other benefit savings, and the welfare cap has produced even more savings. In the autumn statement, of course, £17 billion was suddenly found down the back of the Treasury and Office for Budget Responsibility sofa. Clearly, money that people thought was not there when this issue was debated in 2011 might now be there, and it is our duty to raise that issue.

This Parliament will see a lot of centenary landmarks of the struggle for votes for women. Will the message from this Parliament to this group of women be that they have to take the hit for equality, and for deficit reduction, by having their pension rights absolutely scrambled? If we tolerate that, it will be an intentional injustice. They will not just be passing, accidental casualties; it will be deliberate and targeted, and not just by Ministers. This Parliament will have conspired and connived in it, which is why we have to change it and why the campaign must continue.

[Mr David Hanson (in the Chair)]

Order. I intend to call the Minister at 7.18 pm.