State pension age: Women face ‘vociferous’ Government challenge over ‘astronomical’ bill | Personal Finance | Finance


Women born in the 1950s that have been affected by changes to the state pension age could present an “astronomical” bill to the Government, Which? Head of Money Gareth Shaw has told Express.co.uk. The pension age threshold finally equalised at 65 for both men and women around November last year, and is now on its next trajectory to 66. However, many women affected are still furious with the amendment and are mounting legal battles.

Last year, the Backto60 campaign took the Government to a judicial review to get reimbursement on the basis of the change unlawfully discriminating against them.

However, they lost after the High Court ruled that the increase in the state pension age affecting women born in the 1950s was not discriminatory. The case has now been taken to the Court of Appeal.

Mr Shaw offered insight: “The Government has been resolute in its answer to this that the cost of any solution here would be astronomical to the taxpayer.

“The state pension bill is already incredibly high, and that will place further burden on the country’s finances and on the taxpayer.”

COMPETITION: WIN £10,000 to invest in an ISA 

He added: “Unless told otherwise through the courts, and I’m sure the Government would put forward a vociferous challenge, they will not be making any changes to the state pension age for women, or indeed making any back-payments.

“I think that’s where things are at the moment and the challenge that many women in that age group face.”

Some groups want the state pension age brought back to the age of 60, which it was originally for women, and for women to be repaid the money they’ve missed out on as a result.

Others want some kind of transitional period where there would be a higher state pension for them, or that they would get it earlier.

He continued: “That therefore pushed that final date for collecting state pension out even further for many women that have been affected.

“So there have been multiple campaigns from multiple organisations to try and rectify this and get some restitution.”

The Government is due to review the state pension system in 2023.

The next rise in age will happen in October this year.

It is expected to reach 67 between 2026 and 2028.





Source link

Related posts

Leave a Comment