Former pensions minister Sir Steve Webb has criticised a 'deeply frustrating' HMRC rule affecting many women who reached pension age before April 2010. The BBC pensions expert highlighted the case of a woman in her seventies who paid the married woman's reduced stamp in the 1970s.
That arrangement allowed married women to pay reduced National Insurance rates but meant they received smaller pensions later. The system changed in 1978, ending the reduced rate option, though 4 million women could continue paying it. However, if they had a two-year gap and returned to work, they had to pay the full rate.
Home Responsibilities Protection case
The woman should have qualified for Home Responsibilities Protection (HRP) after returning to work in the mid-1980s - but said she was not. This scheme protected parents' and carers' state pension contributions while they were out of work raising children.
Sir Steve discovered she was actually getting four years of HRP protection. "But annoyingly, HMRC don't display this on your online record," he said, calling the situation "deeply frustrating".
What women need to do
Women who reached pension age before April 2010 may have HRP credits that don't show online. They must phone HMRC to check their records and ensure they're not missing out on pension payments.
HMRC said the woman's National Insurance record was correct and HRP had been properly applied.
