Threat of Financial Ruin Lifted for Waspi Women in Judicial Review Case
The scrappy Waspi campaign, a relentless push for justice by a group of women born in the 1950s, secures a protective barrier in their legal battle against the government for fair compensation. This safeguard caps each side's liability for legal fees, protecting Waspi from crippling government legal costs while they fight for a favorable response to the Ombudsman's compensation proposals.
Whilst the costs capping order is a significant victory, it does not lower the actual legal costs, which remain hefty. Angela Madden, Waspi's chair, aptly refers to this as "the fight of our lives." With spirited determination, she and her fellow campaigners call for public support to help fund their legal journey.
The Department for Work and Pensions (DWP) has agreed to a costs capping order, limiting Waspi's liability for government legal costs to £60,000, and capping the government's liability for Waspi costs at £90,000. This agreement offers each side a financial lifeline, allowing them to continue the legal fight without fear of crippling debt.
Waspi women hail this decision as a major milestone, but they're well aware that the actual costs of the case will far exceed the newly set caps. They express gratitude for the safeguard, yet emphasize the need for ongoing public support—their legal team's mastery of evidence and legal strategies comes at a high price.
Recent legal progress wasn't easy to come by. Earlier this month, a senior High Court judge determined the Waspi case is "arguable" and "ought to be considered at a final hearing," positioning ministers for potential loss if Waspi emerges victorious in court.
This landmark decision follows a 2021 Parliamentary and Health Service Ombudsman (PHSO) ruling in favor of Waspi. However, despite the government acknowledging maladministration, compensation for affected women has yet to be committed. The current Waspi judicial review will delve into the government's rejection of the PHSO's compensation recommendations.
A DWP spokesperson remains tight-lipped on the matter, stating, "We do not comment on live litigation." Despite this, it's clear that the Waspi campaign faces an uphill battle, with ministers persistent in their refusal to concede to any concessions, such as compensation to bridge the gap in pensions or one-off payments.
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Waspi—A Longtime War Cry
As we celebrate ten years since the Waspi campaign was formed in protest of the hasty implementation of changes to State Pension Age (SPA), it's essential to understand their cause.
Between 2010 and 2018, women's SPA gradually rose from 60 to 68, bringing it on par with men's SPA. Women affected by this, predominantly those born in the 1950s, allege insufficient notice and poor communication, leaving them in dire financial straits.
The long, arduous Waspi journey includes lobbying, demonstrations, and even launching a judicial review over the Ombudsman's investigation into the way women were notified about their pension ages. Regrettably, they have yet to receive compensation.
Estimates suggest that the potential injustice affects nearly 3.6 million women, with 380,000 Waspi women having sadly passed away since 2015.
Despite the ongoing struggles, a chink of hope has emerged. Last year, an MP put forth a bill proposing a compensation scheme with payouts of at least £10,000 for affected women. Alas, a general election followed soon after, and while Labour made encouraging noises in opposition, the government rejected compensation. Thus, the Waspi women persist in their legal skirmish with the DWP.
The Roots of Waspi's Battle
Until 2010, women could claim their pension from age 60, while men could do so from 65. The government then decided to equalize SPA for men and women gradually, raising it from 60 to 65 between April 2010 and 2020. The government escalated these changes, making the age at which one could first claim their pension 65 for both men and women by December 2018. By October 2020, this age was raised to 66.
Waspi contends that the DWP failed to adequately communicate these changes, resulting in some women being left in the dark. Many women planned their lives based on when they thought they'd receive their pension, only to discover that they'd have to wait longer, causing financial ruin when they couldn't return to work after retiring.
Helen Morrissey, head of retirement analysis at wealth manager Hargreaves Lansdown, observes, "This is a difficult situation. Equalizing state pension age for men and women is undoubtedly the right thing to do. However, the way government communicated these changes has been widely criticized as leaving many women without proper time to prepare for a major gap in their finances."
While many MPs have supported the Waspi campaign, ministers have repeatedly rebuffed any compromise, including compensation to cover the gap in pensions or a large one-off payment.
The Ombudsman's Inquiry
The Parliamentary and Health Service Ombudsman (PHSO), an independent body looking into complaints made to government departments or the NHS, investigated the implementation of the SPA changes. In March 2024, the PHSO published a report,ir it is pronounced "maladministration" by the DWP, concluding that the department failed to provide reasonable decision making, adequately targeting information to affected women.
The PHSO recommended a compensation package of between £1,000 and £2,950 for affected women, estimating the cost to be up to £10.5 billion. However, it needs to be emphasized that these recommendations are voluntary, as the DWP retains the final say on whether it will adopt them.
Steve Webb, partner at consultants LCP and former pensions minister, talks about the potential compensation scheme, "The ombudsman's responsibility is to judge whether people lost out due to maladministration. He can't overrule parliament's authority to set state pension ages, so any recommendation would likely focus on creating a narrow redress scheme for those who were unaware of the changes, lost out, and made plans accordingly."
The Waspi saga is far from over, but the recent costs capping order has brought hope to campaigners who fear financial ruin while fighting for justice. The battle rages on, with the possibility of compensation looming on the horizon. Support for Waspi is essential to secure a positive resolution and justice for these hardworking women who deserve fair treatment from their own government.
- Maintaining their legal fight against the Department for Work and Pensions (DWP) is not merely a battle for Waspi women, but also a struggle that requires the support of the wider business community, as the costs associated with their judicial review continue to mount significantly.
- With spirited determination, Waspi campaigners remain persistent in pressing the government for fair compensation, leveraging support from political circles, finance, and the general-news media, in order to counteract the high costs of their legal proceedings and build a solid foundation for pension justice.
