Martin Lewis: Underpaid state pension issue may mean 200,000 women owed thousands | Personal Finance | Finance
The pair were presenting the penultimate episode of this series of the money show. During Thursday night’s instalment, Martin Lewis gave ITV viewers his latest financial insights and tips during the news-you-can-use segment.
Kicking off this part of the programme, Martin explained he would be addressing the state pension.
“I’m about to start with the complicated one,” he said. “200,000 women due an average £13,500 of state pension back.
“We’ve done this before when I was showing you how to claim, but there’s been a big change.”
The issue itself is complex, but the financial journalist explained first of all, that in general, it’s for “married women or widows who may have been underpaid, aged 67 or over, whose basic state pension was less than 60 percent of their husband’s”.
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Giving an update on the situation right now, Martin said: “Now what’s happened is the Department for Work and Pensions [DWP] has said it is now going to automatically refund and backdate.”
Within the next few months, the DWP will contact some groups of people who have been affected, Martin explained.
However, not everyone will be contacted, with some still needing to take acton.
“Some people will still need to claim,” he warned. “If your husband turned 65 before March 2008, and you’re being paid less than 60 percent of their basic state pension, you’ll need to contact them.
“If you got divorced after retirement and your pension was less than your ex-husband’s, you’ll need to contact them.”
Martin reiterated that the issue is complex, however he pointed out that there are free guides and tools on the internet.
The issue first made headlines last year, following research by Sir Steve Webb, partner at Lane Clark & Peacock LLP (LCP).
LCP has since launched an online tool which enables some of the women who this potentially relates to to check whether they may indeed be affected.
During this week’s instalment of The Martin Lewis Money Show, the presenters highlighted the stories of some women who ended up getting a substantial amount of money recently.
It includes one person who was told she would get more than £82,000.
Another viewer had since written in after receiving £17,000.
A third said they have ended up with £18,000, while another got £10,000.
Reacting, Martin said: “Big, big money. Worth doing your reading on it.”
Elsewhere on the show, the financial journalist explained how Britons could get a bank account boost of £125.
This is via a current account switch incentive from HSBC, and he explained there’s other offers out there at the moment from first direct and Virgin Money.
The Martin Lewis Money Show continues on Thursday on ITV from 8.30pm.