To ask the Secretary of State for Work and Pensions, what plans her Department has to help reduce the financial losses incurred by women on low incomes born in the 1950s who have had their state pension age changed.
21 October 2019
For people who cannot work, the welfare system will continue to provide a safety-net, as it does for people of all ages now. We will spend around £55 billion this year (2019/20) on benefits to support disabled people and people with health conditions. This is around 2.5 per cent of GDP, and over 6 per cent of government spending, and as a share of GDP, the UK’s public spending is second highest in the G7 [OECD 2015 data].
The new State Pension is actually more generous for many women, who often did less well in the past. Women who reached State Pension age in 2016 are estimated to receive more State Pension on average over their lifetime than women ever have before. By 2030, over 3 million women stand to gain an average of £550 more per year as a result of the recent reforms.
There are now 5 million women aged 50 and over in the workforce compared to 4.2 million five years ago. This is a record high.
This Government is committed to improving the outlook for older workers, including women, affected by increases in the State Pension age, and removing the barriers they may face. We have removed the default retirement age, meaning most people can choose when to retire, and extended the right to flexible working.
To support people with their future planning, DWP launched an online web page in February this year which brings together money, job and health elements of the mid-life MOT: https://www.yourpension.gov.uk/mid-life-mot/
To support employers, Business in The Community has also created MOT guides that support business. https://age.bitc.org.uk/tools-impact-stories/toolkits