Waspi ruling: government denies compensation to women affected

The government has confirmed it will not pay compensation to women born in the 1950s affected by changes to the state pension age.

Ministers restated their position in Parliament in January 2026, following a review prompted by the emergence of a previously unpublished Department for Work and Pensions (DWP) document during legal proceedings.

Campaign groups including Women Against State Pension Inequality (Waspi) and BackTo60 have argued that women weren’t properly informed about the increase and deserve compensation.

The Parliamentary and Health Service Ombudsman (PHSO) previously found that the DWP committed maladministration in how it communicated the changes,.

Here, Which? outlines what you need to know – from the state pension changes which ignited the cause, to the ombudsman’s findings, and the DWP's updated decision in January 2026. 

What happened to the women's state pension age?

Until 2010, women received their state pension at age 60. A phased timetable saw the state pension age rise rapidly for women from 60 to 65 between 2010 and 2018. 

These changes were first announced in the 1993 Budget and put into legislation in The Pensions Act 1995. 

Originally, the plan was to phase in the rise between 2010 and 2020, however, the coalition Government accelerated the shift in 2011 in a bid to reduce the cost of the state pension system.

The new pension age of 65 for women was introduced in 2018. Further increases – which were introduced as part of the Pensions Act in 2011 – accelerated the rise to 66 for everyone from between 2018 and 2020, with another increase planned for a hike to 67 by 2028. 

Campaign groups argue that many women born in the 1950s have lost out significantly and were not properly warned of the changes, as there was a 28-month delay in sending letters informing the 3.6 million affected by the changes. 

• Find out more: state pension age calculator 

The PHSO investigation 

An investigation was launched by the PHSO back in 2018, and it published two reports of its findings in July 2021 and in December 2024. 

The Ombudsman investigated complaints that since 1995 the DWP failed to provide adequate, accurate and timely information about state pension age reform. It did not investigate the legislation change itself.

The report's findings:

The PHSO found the DWP guilty of 'maladministration' for failing to adequately inform women about increases to the state pension age, concluding they needed at least 28 months' more notice. 

Additionally, the DWP was criticised for poor communication regarding National Insurance (NI) qualifying years, especially after the 2014 Pensions Act changed the requirements for the full state pension, leading to widespread misunderstanding. 

The DWP's complaint handling was also found to be inadequate, marked by delays and insufficient investigation, although no fault was found with the Independent Case Examiner (ICE). 

While communication failures regarding the 1995 Pensions Act affected complainants' sense of control over their finances, the Ombudsman found no direct financial loss. 

However, the poor complaint handling did cause affected women unnecessary stress, anxiety, and confusion.

• Find out more: women's state pension age increase was 'maladministered', rules Ombudsman

How much compensation was recommended?

When an injustice is found, the Ombudsman can recommend next steps, including compensation. The amount of compensation is rated on a scale of one to six, with six being the most severe.

Based on its investigation, the PHSO recommended a Level Four compensation range where payouts range from £1,000 to £2,950, to reflect a ‘significant and/or lasting injustice that has, to some extent, affected someone’s ability to live a normal life.’ 

The government previously said compensation could cost around £10.5bn overall, and they reiterated this figure again today. 

The PHSO also recommended that the DWP apologise for its failings and provide similar remedies to all others affected by the identified maladministration.

• Find out more: how much do you need to retire?

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The government's view on compensation

The DWP was not legally required to follow the PHSO’s recommendations. After the report was published, former Work and Pensions Secretary Liz Kendall announced that while the government accepted the PHSO’s findings and apologised for the maladministration, it would not provide compensation. 

At the time, Kendall said: 'Given the great majority of women knew that the state pension age was increasing, the government does not believe paying a flat rate to all women – at a cost of up to £10.5bn – would be a fair or proportionate use of taxpayers’ money.'

The government emphasised research showing 73%-90% of women in the affected age group were already aware of the changes, arguing that earlier letters would not have significantly improved awareness.

• Find out more: could the state pension age rise to 71?

The latest update

In January 2026, the government confirmed it would not introduce a compensation scheme for women born in the 1950s affected by state pension age changes.

Addressing Parliament on 29 January, the Secretary of State for Work and Pensions, Pat McFadden, said the review had been carried out after a previously unpublished 2007 Department for Work and Pensions (DWP) evaluation emerged during legal proceedings. He said the document did not change the government’s overall assessment.

McFadden reiterated that most affected women were already aware that the state pension age was increasing, pointing to a range of public information and communications over several years. While acknowledging that some women said they were unaware of the changes, he said it would not be practical to design an individual compensation scheme.

He also said a flat-rate compensation payment would not be fair or proportionate, as it would be paid to many women who already knew about the changes, at an estimated cost of £10.5bn.

In response, Waspi said the decision did not reflect the Parliamentary and Health Service Ombudsman’s findings or its recommendation that compensation should be paid.

Angela Madden, chair of Waspi, said the group would take legal action and all options remained on the table. She added: 'We stand ready to pursue every avenue in Parliament and in the courts to secure the justice that has been so shamefully denied.'

• Find out more: the women battling the government for a fair state pension