An estimated 3.5 million women affected by changes to the official age of retirement could be due compensation.

The Department for Work and Pensions (DWP) has confirmed that the “process to retake the decision” on State Pension compensation for women born in the 1950s is “underway”. An estimated 3.5 million so-called WASPI women have been affected by changes to the official age of retirement under successive UK Governments.

Pensions Minister Torsten Bell also said DWP will “update the House on the decision as soon as a conclusion is reached”.

His comments came in a written response after Independent MP Alex Easton asked ‘what the UK Government’s policy is on establishing a compensation scheme for that cohort and what assessment has been made of the implications for Government policy of recent legal challenges regarding the basis on which compensation was declined’.

READ MORE: WASPI announces new DWP compensation reconsideration due before end of FebruaryREAD MORE: State Pension age set to rise next April for people born in specific years

In his response on Monday, Mr Bell said: “The Secretary of State (Pat McFadden) announced in his Oral Statement of 11 November that we will retake the decision made last December as it relates to the communications on state pension age.

“Information that was not considered at the time of the original decision has come to light. In retaking the decision, we will review the evidence alongside evidence previously considered.

“The process to retake the decision is underway and we will update the House on the decision as soon as a conclusion is reached.”

Earlier this month, the Women Against State Pension Inequality Campaign (WASPI) said the UK Government has agreed to a “speedy and thorough” reconsideration on whether to award compensation after a planned court hearing on the topic was cancelled.

A special hearing was due to take place regarding concerns from the WASPI campaign which would decide whether a judicial review trial slated for December 9 and 10 should proceed. However, following Pat McFadden’s announcement of a review, the court dates were cancelled.

The WASPI Campaign said DWP ministers have committed to make “best endeavours” to reconsider potential compensation within 12 weeks, or by February 24th, and to pay more than half of WASPI’s legal costs.

Last year, a report by the Parliamentary and Health Service Ombudsman (PHSO) suggested compensation ranging between £1,000 and £2,950 could be appropriate for each of those affected.

But in December 2024, the UK Government said that, while it accepted the Ombudsman’s finding of maladministration and apologised for a delay in writing to 1950s-born women, a blanket compensation scheme, which could cost taxpayers up to £10.5 billion, could not be justified.

However, recent court proceedings resulted in the rediscovery of a 2007 DWP evaluation which led to officials stopping sending automatic pension forecast letters.

WASPI has argued that a lack of sufficient information led to women planning their finances based on incorrect understandings, which has left them having to work longer or facing financial hardship.

They said the judicial review will not take place while the UK Government reconsiders its compensation decision, but it could relaunch the process at a later date.

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