SDLP MLA Mark H Durkan said that a major error by the Department for Work and Pensions has resulted in many women being underpaid in their state pension due to gaps in their National Insurance records.
Those affected are mostly women who were stay-at-home mothers claiming Child Benefit between 1978 and 2000.
HMRC are issuing letters to advise people of their eligibility for Home Responsibilities Protection (HRP.)
Letters will be sent in phases with priority given to those over state pension age.
Said the Foyle MLA: “It’s difficult to comprehend how an error of such magnitude could happen in the first place but to continue for so long beggars belief.
“The error could see many individuals in receipt of state pension, mostly women, underpaid by an average of £5,000.
“HMRC has committed to identifying and contacting all individuals who could be impacted within the year.
“However, I’ve spoken with the Pensions Team within the Department for Communities who have advised the process could take up to 18 months and it is my understanding that the process will require individuals to make a subsequent application for HMRC.
“DfC were unable to determine how many people have been impacted in Northern Ireland – this is particularly concerning given that the error was first highlighted by DWP in July 2023.
“My office has dealt with one case whereby a pensioner queried a seemingly low state pension payment and as a result of her own detective work, discovered gaps in her National Insurance contributions.
“No clarity has been given by HMRC despite concerns being raised over a year ago.
“The dearth of information doesn’t fill me with confidence- given the process appears to be heavily reliant on claimants to do the legwork to claim this money, it’s vital that DfC have adequate resources in place to support people and alleviate the burden on an already overwhelmed Advice Sector.
“The British Government has stated that information on many claimants is missing, particularly in relation to those in receipt of Child Benefit before 2000.
“That is a truly shocking admission and could see some pensioners dying before receiving the money to which they’re entitled.
“The SDLP has appealed to both DWP and DfC to ensure this process is as transparent as possible and that government departments are fully equipped to get this money into the rightful hands.
“The underpayment could not only prove to be a lifeline for so many, but in many cases could prove life-changing.”
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