Almost 4000 Cumbrian women lose out in state pension reforms

Lee SherriffHouse of Commons Library research released by Labour reveals the true cost of the Government’s pensions reforms to 3900 women across Cumbria who are set to lose out.

It’s estimated that 600 women in Carlisle alone will hit by the changes.

Cumbrian women born in 1952 and 1953 will not be eligible for the single tier pension since they are due to retire in 2017, before the state pension reforms come into effect. Men born during the same period, however, will qualify.

The news comes after the Government claimed that "we have to be absolutely transparent [about who will lose]” yet he failed to make clear the full consequences of the planned reforms.

The unravelling of this latest Pensions announcement is the second time this government has been caught trying to hide the full impact of its changes for pensioners following the Granny Tax.

Lee Sherriff, Labour’s parliamentary candidate for Carlisle said:

“Ministers have been caught red-handed hiding the truth on pensions reforms.

“This government’s pensions changes have hit hardworking women in Cumbria time and again and these reforms are no different. Almost 4000 women in Cumbria will be nearly £2,000 worse off compared to men, but instead of being honest with the women that will lose out this government tried to bury the truth.

“Once again Ministers have been caught with their hands in pensioners’ pockets – it’s about time this government had the decency to be honest about who will lose out under their plans.”

Ends 

Notes to Editors

Women born between April 1952 and July 1953 will retire before 2017 and will not be eligible for the single tier pension. For example, a woman born in October 1952 will retire at age 63 in 2015. This means that she will draw the basic weekly pension of £107.45 (in today’s prices) when she retires. 

However, men born in the same period are due to retire in 2017, and so will be eligible for the new single-tier rate.

Losers from state pension reform

House of Commons Library research shows that 430,000 women born between April 1952 and July 1953 could lose out in this way. 

The House of Commons Library estimates this will mean that 3900 in Cumbria will be affected. 

This could mean that women draw a state pension income of around £1,900 a year (£36.55 a week) less than a man of the same age. The exact difference will depend on the number of contributions each woman has made, and whether she receives means-tested benefits or not.

 

Breakdown by constituency in Cumbria 

Barrow and Furness            700 

Carlisle            600 

Copeland            600 

Penrith and The Border            700 

Westmorland and Lonsdale            700 

Workington            600 

Total       3,900