The Department for Work and Pensions (DWP) in the UK has said that it will give a lot of money to women who didn’t get all the State Pension they should have. This is because of problems with two things called Home Responsibilities Protection (HRP) and Universal Credit National Insurance records. They’re trying to fix old mistakes that caused some people to get less pension money than they should have.
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UK State Pension £5,000 Back Payment
HRP was a system that started in 1978 to ensure people who looked after others or had kids didn’t miss out on their State Pension. In April 2010, it was replaced by something called NI credits. These credits were also meant to protect the pensions of people who had to look after others. But some people’s records didn’t show the right amount of pension they should get under these systems.
Who Can Get the £5,000 State Pension Back Payment?
The tax department, known as HM Revenue and Customs, has been looking at NI data to find people who should have gotten HRP between 1978 and 2010 but didn’t. This is really important because it ensures that people get the right amount of State Pension.
According to Paul Maynard MP, the DWP Pension Minister, about 187,000 cases didn’t get the right pension. The total amount that wasn’t paid is estimated to be £1.043 billion. This shows how big the problem is and how much money it has cost the people who should have gotten these pensions.
How to Get the £5,000 State Pension Back Payment?
If you’re worried that you didn’t get the right amount of State Pension because of problems with HRP or Universal Credit NI, you need to take action.
- The fastest way to find out if you didn’t get the right amount is to call the Pension Service at 0800 731 0469. They can give you advice and help based on your situation.
- You can find more contact details and resources on the official website called Welcome to GOV.UK. This includes lots of information about State Pension, who can get it, and how to claim if you think you’ve been underpaid.
- The DWP plans to update their annual reports and accounts on how they’re fixing the problem. These updates can give you more information about what’s happening with the corrections and any other important information.
- The DWP has fixed problems with Universal Credit data for cases up to the financial year 2022/23. As part of the ongoing process, any money that wasn’t paid because of these corrections will be sorted out.
When Will the £5,000 State Pension Back Payment Be Made?
Before, millions of people getting Universal Credit were told their state pension records might be wrong, which could mean they were underpaid. The DWP has said they will finish fixing the problem by the end of 2025. This shows that the Government is committed to sorting out the problem quickly and giving the money to the people who should have gotten it.
The amount that wasn’t paid differs for each person, with an average of £5,000 for cases where the person is older than the State Pension age. For cases where the person has died, the average amount is around £3,000. These payments are being made to fix past mistakes and ensure people get the pension money they should have gotten.
What We Know Now
About 12.7 million people in Great Britain are getting state pension benefits. These include the basic state pension, which can be up to £169.50 per week, and the new state pension, which can be up to £221.20 per week. This money is really important for helping retired people pay for their living costs and keeping them financially stable after they stop working.
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