State Pension Age (Women)

Peter Dowd Excerpts

Thursday 7th January 2016 Commons Chamber

[Marcus Fysh]

Not at the moment.

Women on average have a healthier longevity and that is increasing at a greater rate than it is for men. As a nation we spend a massive and increasing amount on our healthcare system and on our pension system in order to allow as many people as possible a happy retirement.

It was in 1908 that the Liberal Government under Lloyd George brought in the first provisions—[Interruption.] I am certainly not blaming the Liberals for that. A great man, Mr Churchill, was involved too. The age at which the state pension could be claimed was set at 70, compared with the average longevity of 55 at that time. That gives us some idea of the changes that have taken place since. In 1995 the retirement ages were raised so that they would be equal as between women and men in the future. That was further examined in the mid-2000s by Lord Turner. There was cross-party support for those ages to be raised further, given the increases in longevity that I mentioned.

Under the coalition Government, when I was not in Parliament, a decision was taken, based on further increases in longevity, to raise the retirement age even faster for a few people. One of the principles behind all the recent changes was the affordability of the system overall. We have heard that it would cost £39 billion to reverse those changes. That liability would apply to all age groups, and it would be unfair for us to continue to burden younger generations with extra taxes in order to make more concessions than we have already.

[Peter Dowd (Bootle) (Lab)]

Will the hon. Gentleman give way?

[Marcus Fysh]

Not at the moment.

At the time of the last decision in 2011 a concession of over £1 billion was made to help the age groups who are contacting us now.

I want to say a little about equality. I have two very young daughters and I am keen that they should have equal opportunities, as far as possible, with men of this nation in the workplace and as citizens. I shall highlight a few things that make me think that we as a Government are doing well on behalf of women. The introduction of a single tier state pension will have a good effect on women. It will be equally available to men and women, based on the same approach to national insurance.

--- Later in debate ---

[Carolyn Harris (Swansea East) (Lab)]

Half a million women, including more than 3,500 in my constituency, are asking the Government why they have to wait up to six years longer for their state pension. During their working lives, they paid national insurance contributions expecting to get their pension at the age of 60, an age fixed in 1940 and five years below that for men.

In 1995, the Conservative Government set out a timetable to equalise the pension age for men and women at 65. They fixed a start date 15 years ahead—April 2010—and phased in the changes slowly, so that only from April 2020 would women born in April 1955 or later not get their state pension at 65. The pending changes were largely ignored except for a small section in the financial section of a broadsheet. The women affected, who were then aged 45, were not warned by the Department of Social Security.

[Peter Dowd]

One of my constituents, Angela Pugh, has sent me valuable information, and I thank her and WASPI. She outlined one woman’s experience. She said that the job market is not ready to accept older women and that many are forced to accept zero-hours contracts, temporary contracts or low-paid contracts that offer no financial security. Does my hon. Friend agree that those women—the backbone of this country—have been betrayed by the Conservatives?

[Carolyn Harris]

I most certainly agree with my hon. Friend.

In 1995, 2020 seemed a long time away. In 2007, the Labour Government decided to increase the retirement age for both men and women to 66, but included a caveat that no changes would be made until 2024. In 2011, the coalition Government unsurprisingly reneged on that caveat and set a new timetable that was tough on women and broke a pledge that there would be no change until after 2020.