There are worries that certain underpaid pensioners may miss out due to plans to destroy old pension records, maybe even some proving that individuals are owed money. The mistake may have an impact on those who had gaps in their National Insurance records connected to Home Responsibilities Protection (HRP) credits.

State pensioners may be owed £8,377 each after DWP error, and here’s how to claim

It’s important to make sure that individuals are not missing out on any money they may be entitled to. The length of time that the Government will keep the data required to solve this problem is a source of concern. According to the DWP, it may delete old pension records. The resumption of this practice, which had been put on hold during a prior remedial plan, has fueled concerns that addressing underpayments may be more difficult.

The DWP calculated in its most recent annual report that the HRP error might affect about 194,000 people and allotted £1.15 billion to address the issue. With 12,379 individuals who had received repayments totalling £104 million as of 31 March of the current year, with an average repayment of £8,377.

Underpaid pensioners may lose money if outdated pension records are removed, potentially impacting National Insurance gaps related to Home Responsibilities Protection (HRP) credits. However, there are some requirements one must fulfil if you are not sure if you have been impacted.

Between 1978 and 2010, you may have been missing National Insurance credits that should have been applied to your state pension if you provided care for children or individuals with disabilities.

State pension error affects thousands in the UK, and here is why

The DWP allocated £1.15 billion to remedy the issue in its previous annual report, estimating that the HRP miscalculation might impact around 194,000 people. As of 31 March of this year, 12,379 individuals had received repayments totalling £104 million, with an average refund of £8,377. There are requirements you must fulfil if you want to determine whether you have been affected.

You might be missing out on National Insurance credits that should go toward your state pension if you worked as a caregiver for children or disabled adults from 1978 to 2010. A new DWP study has identified the primary reasons why people who received a letter from HMRC requesting that they verify their State Pension because it might be inaccurate have not done so.

Check your eligibility for caregiving years to claim

More than 370,000 letters, primarily addressed to women, have been sent by HMRC asking people to verify their State Pension benefits because they might be less than what they are legally entitled to. If you are impacted, you should have received a letter; if not, you can check using the Government’s online tool.

The UK government has urged elderly individuals who might be eligible for backdated State Pension benefits due to past Home Responsibilities Protection errors to submit a claim using other channels if they are unable to do so online.

Treasury Minister James Murray has announced that pensioners unable to access their Personal Tax Account can apply for Home Responsibilities Protection by completing a print and post form or contacting the National Insurance helpline.

The DWP research shows that most people contacted by letter did not apply for HRP due to barriers like not understanding the letter, believing it was a scam, and relying on digital methods. HRP was replaced by NI credits in 2010.

The online HRP tool allows applicants to apply for HRP for full tax years between 1978 and 2010, if they were claiming Child Benefit for a child under 16, caring for a child with a partner, receiving Income Support, or caring for a sick or disabled person. You should check your records, as you may have pension funds due to you.

Disclaimer: This article is for informational purposes only and does not constitute tax advice. It does not replace HMRC’s guidance or official notices. To confirm your eligibility or payment status, click the HMRC‑linked resources in our article or log in to your HMRC online account; for personalised advice, consult a qualified tax professional.