Frustrated Labour MPs Say WASPI Decision Shows Government Is “In A Bunker”

Prime minister Keir Starmer has said taxpayers “simply can’t afford the tens of billions of pounds” in compensation for WASPI women. (Alamy)

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The decision not to pay compensation to WASPI women (Women Against State Pension Inequality) announced yesterday came after a recommendation by the Parliamentary and Health Service Ombudsman (PHSO) in March to pay between £1,000 and £2,950 to women affected by the issue.

The compensation concerns women primarily born in the 1950s who claim they were not told quickly or clearly enough about changes to their pension in the 1990s and lost out financially as a result.

Secretary of State for Work and Pensions Liz Kendall said she rejected the recommendation because it would not be “fair or value for taxpayers’ money”.

However, multiple cabinet members — including Prime Minister Keir Starmer — previously expressed support for compensation for WASPI women before being elected in July. 

“I do understand the concern, of course I do,” said Starmer at Prime Minister’s Questions on Wednesday when challenged by Labour MP Diane Abbott on the decision.

“I set out the history. But the research is clear that 90 per cent of those impacted did know about the change. In those circumstances, the taxpayer simply can’t afford the burden of tens of billions of pounds of compensation.”

Angela Madden, Chair of Women Against State Pension Inequality, said the PM’s claim was “misleading”.

“It’s an insult to millions of 1950s-born women who were blindsided by these changes. The Ombudsman’s findings were based on rigorous evidence showing that 60 per cent of women had no idea their own State Pension age was rising,” she said.

Behind the scenes, some Labour MPs are infuriated with what one backbencher described as the latest government failure to “do politics” well, pointing out that it is the second major decision to affect elderly people following the move to make the winter fuel payment means tested.

This Labour MP told PoliticsHome that while they are a Starmer “loyalist”, they had today spoken to Government Whips to express frustration at what believe is a top team “in a bunker” not listening to the concerns of Labour MPs. 

“The Government has made the wrong decision,” said a different Labour MP, while another complained that the decision was announced in a “weird way” with “no real build-up”.

Some Labour MPs have gone as far as publicly denouncing the decision.

“I am shocked and disappointed,” said Labour MP Emma Lewell-Buck.

“The PSHO asked parliament to decide on an appropriate remedy. Parliament hasn’t. I will continue to work with colleagues across parliament to make the case for the WASPI women.”

Labour MP Kate Osborne said, “whilst I understand the mess the Conservatives have left this country in and the dire financial constraints we are now dealing with because of decades of Tory mismanagement, I do not agree that women should once again be left to bear the brunt of Tory failures.”

She added: “Women are too often left to pay the price, we are the shock absorbers of poverty.”

Labour MP Jonathan Brash on Tuesday said the Government was “wrong”. 

“I’ve written to the minister to say so and urge a reconsideration,” Brash posted on Facebook. 

“I’ve supported their campaign for years. I could WASPI women among my friends. I promised always to support their fight for justice. I’m not changing now.” 

Additional reporting by Adam Payne.

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