Women losing up to £4,000 a year in pension scandal

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Despite attempts to fix the blunders, some victims are only getting £69 a week instead of £141 – a loss of £3,788 a year.

Former Pensions Minister Sir Steve Webb, who uncovered the problem, has written to Pensions Minister Guy Opperman calling for further action.

It comes as it was revealed women would need to work an extra 18 years full-time to save the same amount of money into their pensions as men.

At 65 women have typically accumulated £69,000 in private pension wealth, compared with an average man’s savings of £205,800, according to pension provider Now: Pensions and the Pensions Policy Institute.

Regarding the state pension issue, women who paid reduced National Insurance – the “married woman’s stamp” – may lack the 10 years of full-rate contributions to qualify.

But a special concession means if they were paying the lower stamp 35 years before they retired, they get a pension of £85 per week if married or £141.85 if widowed or divorced.

The Department for Work and Pensions (DWP) found in 2019 that errors were being made in such cases and a drive to put it right began.

But some women are still being wrongly told they have no entitlement. Sir Steve, now at investment firm LCP, said: “How many trusted what the DWP told them and are now struggling to get by without the pension which is rightfully theirs?” The DWP said: ” Where errors occur, we are committed to identifying and rectifying them.”

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