Source · Select Committees · Public Accounts Committee

Recommendation 16

16

The Department decided to contact pensioners reviewed as part of the State Pension LEAP exercise...

Conclusion
The Department decided to contact pensioners reviewed as part of the State Pension LEAP exercise only if a correction was made to their basic State Pension.36 Other groups of pensioners can receive arrears if they make a claim to the Department, however, the Department has provided very little information to such pensioners on how to do so. There is no legal obligation on the Department to seek out these pensioners or pay them arrears. The Department will backdate any increased payments by 12 months from the date when a new claim is made. These groups include: • married women, whose spouse or civil partner became entitled to State Pension prior to 17 March 2008; • divorced pensioners who have not informed the Department of the divorce and whose pension could be increased using their ex-spouse or ex-partner’s National Insurance record; and • individuals more than 80 years old who are not already in receipt of basic State Pension, or who currently live abroad and have not yet claimed the uplift.37
Government Response Not Addressed
HM Government Not Addressed
3: PAC conclusion: The Department has not given people who are worried they have been underpaid enough information to find out what they should do, with the risk that many may still miss out on money they should receive. 3: PAC recommendation: The Department should improve the clarity and availability of information on State Pension underpayments, and what people who are concerned that they have been underpaid should do. This should include information for groups the Department finds hard to reach such as the next of kin of deceased customers. 3.1 The government agrees with the Committee’s recommendation. Recommendation implemented 3.2 The department welcomes the endorsement of action already taken with their proposed recommendation, although rejects the Committee’s conclusion. As the department set out in the Committee hearing on 28 October 2021 (see questions 149 to 154); there is information on Gov.uk about deriving (Category BL) State Pension, inheriting State Pension through spouse or civil partner, inheriting state pension through partner and Category D (over age 80) State Pension. In 2021 the Category BL and inheritance content was revised, making it easier to find and to emphasise further that some individuals must make a claim and how they can do this. 3.3 The department has conducted complex scans of its computer systems to identify those who may fall into the three broad cohorts covered by the exercise. Where underpayments are identified, the department will contact those affected to inform them of the changes to their State Pension amount, and any arrears due. 3.4 The department is working with the General Registrar’s Office, Coroner’s Office and National Records of Scotland to establish datalinks to identify next of kin details they may hold. 3.5 In addition, the department will provide a more direct route for those enquiring about underpaid State Pension in respect of a deceased customer. The department will update Gov.uk by Summer 2022.