The Tory-Lib Dem Government’s plans to accelerate the state pension age increases mean that 500,000 women will have to wait for more than a year longer before receiving the state pension, leaving many women aged 56 and 57 feeling robbed, Sefton Central Labour MP Bill Esterson said today.
As many as 300,000 women born between December 6 1953 and October 5 1954, will have to wait an extra 18 months, and an unlucky 33,000 born between March 6 1954 and April 5 1954 will have to wait an extra 2 years, before being entitled to their state pension.
The majority of these women will already be well underway in their plans for retirement, with many already working reduced hours in order to care for grandchildren or elderly parents. Yet they are now being forced to make significant changes to their financial plans, with just five years' notice before the changes kick in.
The unlucky 33,000 born between March 6 1954 and April 5 1954 are set to lose around £10,000 in lost state pension or more than £15,000 if they get the full pension credit, with less than seven years to attempt to accommodate the change.
Labour MP Bill Esterson said: “The Government’s plans to increase the state pension age disproportionately affects women. They are being made to wait up to two years longer for their state pension.
"Many of these are women who have juggled working lives with raising a family, and who have very little retirement saving to fall back on. The lack of warning of these changes means they do not have enough time to adjust carefully thought-out retirement plans and leaves them feeling robbed of their pensions.
“Despite the Coalition Agreement stating that they would not raise the state pension age for women before 2020, the government has taken another ‘u-turn’ on their policy and I will be fighting these changes every step of the way to ensure fairness for those approaching retirement feeling that the goalposts keep being moved.”