State Retirement Pensions
(asked on 29th June 2020) - View Source
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what criteria her Department uses to determine the circumstances in which interest is added to back payments of a state pension.
This question was answered on 7th July 2020
The DWP has a discretionary special payment scheme and the current criteria has been in place since 2012. If a benefit payment has been delayed DWP can consider a payment to recognise any erosion in the value of the money. Special payments for ‘interest’ are calculated using HMRC’s repayment interest rate.