Millions have been getting the wrong pension for DECADES due to a ‘staggering’ DWP blunder

The problem is related to retirees not receiving the correct amount of Graduated Retirement Benefit (GRB). This is an additional benefit that tops up your state pension

Millions of retirees have been mispaid for decades
Millions of retirees have been mispaid for decades

Millions of retirees have been getting the wrong pension for decades due to “really mind-boggling” IT blunders dating back to the 1990s, according to a new report.

The problem is related to retirees not receiving the correct amount of Graduated Retirement Benefit (GRB).

This is a supplementary benefit to top up the state pension for people who paid “staggered contributions” between 1961 and 1975 in addition to their National Insurance contributions.

The amount of GRB you might be entitled to when you reach state pension age depends on how much you’ve paid in ‘staggered contributions’.

That BBC says the problem with retirees not receiving the correct GRB supplement is due to a problem with the pension strategy computer system.

Do you think your state pension has been underpaid? Let us know: mirror.money.saving@mirror.co.uk

Sir Steve Webb, who served as Minister for Pensions between 2010 and 2015, told the broadcaster he was never made aware of the problem.

“The scale of these errors is really overwhelming,” he said.

“Although the absolute size of the errors is usually small, the number of those potentially affected is huge.”

Department for Works and Pensions (DWP) officials confirmed that the problem was considered “too complicated to fix” as early as 2002.

In a new statement today, the government said it was studying “possible remedies”.

A DWP spokesman said: “In 2002, given the complexity of the system and minimal impact on individuals, it was decided that no changes or corrections would be made until a new computer system was introduced.

“The Department is assessing the magnitude of this problem and investigating possible remedies.”

An official analysis released by DWP last month shows that it has underpaid state pensioners by a total of £540m but also overpaid by £110m.

Usually, the DWP will detect the problem and pay you a lump sum of the amount owed.

If you feel you have been underpaid and the DWP has not contacted you or has not resolved the issue, you can contact them to enquire.

If you think you have not received the correct amount of state pension, you should contact the DWP Pensions Service directly.

You can call 0800 731 0469 but note that lines are only manned Monday to Friday from 9.30am to 3.30pm.

More retirement news has urged Brits to review their eligibility for pension credit amid fears 850,000 people are missing out.

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https://www.mirror.co.uk/money/millions-been-getting-wrong-pension-27259493 Millions have been getting the wrong pension for DECADES due to a 'staggering' DWP blunder

Fry Electronics Team

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