DWP admits state pension failings as major overhaul announced - everything you need to know

The Department for Work and Pensions (DWP) has published a new action plan after accepting failings in the way it communicated State Pension age changes to women born in the 1950s.

The Government acknowledged that maladministration between August 2005 and December 2007 resulted in a 28-month delay before individual letters were sent to affected women explaining changes to their State Pension age.

It has apologised to those impacted by the delay and also accepted findings from the Parliamentary and Health Service Ombudsman over the way complaints were handled, pledging to review and learn lessons from its response to the complaints campaign.

This action plan establishes a fresh approach to State Pension communications, with particular emphasis on pension age information and improved complaints procedures.

The DWP will introduce a new communications strategy covering the period from April 2027 to 2030, with the aim of making State Pension information clearer and easier to understand.

It will also expand a nationwide campaign encouraging people to check their State Pension age earlier so they have more time to plan for retirement.

The campaign will use television, radio and social media advertising, as well as adverts at bus stops, to reach more people across the country.

The department also plans to work with employers, trade unions, charities and community organisations to raise awareness, while newsletters will be used to reach even more people.

The changes are intended to encourage more people to find out their State Pension age sooner and avoid the communication problems highlighted by the Parliamentary and Health Service Ombudsman's investigation.

Enhanced digital services will play a central role in the department's revised approach, with online tools for checking pension forecasts, National Insurance records and retirement income planning set for continued improvements.

The DWP has confirmed it is already dispatching letters to individuals whose State Pension age is 67, providing details on when they can claim, how to access their forecast and where to find additional guidance.

A new stakeholder working group will be established, bringing together charities and other organisations to help shape future pension communications and identify more effective methods of reaching people before they retire.

The department is also implementing a formal mechanism to incorporate complaints and customer feedback into its communication improvements, rather than addressing grievances as isolated incidents.

Future correspondence and campaigns will undergo public testing before launch, with heightened attention to clarity and accessibility.

David Brooks, Head of Policy at pensions consultancy Broadstone, described the action plan as "a positive step towards ensuring people receive clearer, more personalised information about their State Pension age and any future changes."

He noted the timing is significant, with an independent State Pension age review expected to report soon and a new Prime Minister set to take office.

"An ageing population, rising State Pension costs at a time of fiscal strain and the continued commitment to the triple lock mean there will be increasing focus on whether future increases to the State Pension age should be accelerated," Mr Brooks said.

He emphasised that people require certainty and advance notice to make informed decisions about work and retirement.

Mr Brooks added that while the State Pension provides a foundation for retirement income, targeted support such as Pension Credit remains crucial for addressing pensioner poverty.