£2990 Payout for WASPI Women: In a major political and financial development, discussions around compensation for WASPI women have reignited across the UK. With the Labour government now under intense pressure, a £2,950 payout recommendation has sparked fresh hope among millions of affected women. This article explores the latest developments, political reactions, and the future of this potential DWP U-turn.
Who Are the WASPI Women and Why Compensation Is Demanded
The WASPI campaign represents millions of women born in the 1950s who were affected by the increase in State Pension Age from 60 to 66. These changes were introduced with limited notice, causing financial hardship for many. The campaign argues that the government failed to communicate these reforms properly, leaving women unprepared for retirement. The demand is not just for the pension delay but for the unfair way it was implemented without sufficient communication and time for planning.
Ombudsman’s Recommendation and Proposed Compensation
In 2024, the Parliamentary and Health Service Ombudsman (PHSO) published a report concluding that the DWP failed in its duty to inform these women adequately. The report recommended a Level 4 compensation payout which amounts to £2,950 per affected individual. This figure is based on the Ombudsman’s scale of injustice and was seen as a fair acknowledgment of the emotional and financial distress caused by the sudden pension age rise.
Labour’s Position After Coming to Power
While in opposition, Labour leaders expressed sympathy toward the WASPI women and often backed their cause. However, after winning the 2024 general election, the new government’s tone has changed significantly. Current Work and Pensions Secretary Liz Kendall has stated that a payout is not feasible, citing financial constraints and the challenge of justifying taxpayer-funded compensation. This perceived U-turn has led to growing dissatisfaction among Labour supporters, especially older women who feel betrayed by the party’s changing stance.
Why Labour Is Under Pressure to Reverse Its Decision
The call for compensation is not just emotional but backed by a strong public sentiment. Many MPs, especially from Labour’s own backbenchers, are urging the government to reconsider. Campaigners argue that justice delayed is justice denied, and the recommendations from the Ombudsman must be respected. Public support for the WASPI movement remains strong, and media coverage has reignited awareness of the issue, making it a major talking point in Parliament and among voters.
Legal Challenges and Ongoing Judicial Review
Despite the government’s resistance, WASPI campaigners have taken legal action. A judicial review is now underway to determine whether the government’s refusal to compensate is legally justifiable. The court has allowed the case to proceed, and a cost-capping order has limited the financial risk to campaigners. While the outcome is not guaranteed, it opens the door to a possible legal mandate that could force the government to take action in line with the Ombudsman’s recommendations.
Financial Implications for the Government
If the compensation were to be approved, the financial impact would be substantial. An estimated 3.6 million women could qualify for the payout, which would cost the Treasury between £3.5 billion and £10.5 billion. While this may seem like a heavy burden, campaigners argue that the human cost of inaction is far greater. They believe this payment is not a favor but a matter of justice for a group of citizens who were unfairly treated by past policies.
What Happens Next in the WASPI Compensation Debate
As of now, no official timeline has been announced for compensation. The government has neither accepted nor outright rejected the Ombudsman’s recommendations. The ongoing court proceedings, along with mounting political and public pressure, could eventually push Labour to reconsider its position. For now, the issue remains unresolved, and millions of women continue to wait for the justice they believe they deserve.
Summary of the Current Situation
The proposed £2,950 compensation for WASPI women remains uncertain. Although the Ombudsman has made a clear recommendation, the Labour government has expressed concerns about the financial feasibility of such a payout. Legal challenges are ongoing, and political debate continues to intensify. Whether or not a major DWP U-turn occurs depends on a combination of judicial outcomes, public opinion, and internal pressure on Labour leaders.
Disclaimer
This article is based on current public information, media reports, and official recommendations from the Parliamentary and Health Service Ombudsman as of June 2025. No final decision on compensation has been announced by the government. The legal process and political discussion are still ongoing. Readers are advised to follow official government updates and legal outcomes for the most accurate and up-to-date information regarding the WASPI compensation issue.
