UPDATE: |DWP sends letters to 370,000 women urging them to check State Pension News

The latest data shows 493,813 people have used the online tool at GOV.UK to check if they are missing HRP from their State Pension

HM Revenue and Customs (HMRC) has confirmed that over 370,000 letters have been dispatched to older people, predominantly women, encouraging them to review their State Pension as it may be less than what they are entitled to.

According to data released by the Department for Work and Pensions (DWP) on the progress of rectifying historical State Pension errors, the average arrears payment is valued at £7,859. In 2022, the DWP identified a number of State Pensions cases where it seemed that historic periods of Home Responsibilities Protection (HRP) were absent, resulting in incorrect State Pension payments.

Investigations disclosed that this issue pertained to the National Insurance records, managed by HMRC, of some individuals both below and above State Pension age.

The DWP and HMRC initiated a Legal Entitlements and Administrative Practice (LEAP) corrections exercise to identify and invite potentially affected individuals to apply, correct their records, and make both arrears and ongoing revised State Pension payments., reports the Daily Record.

Anyone affected by the error is expected to receive any back payments by the end of this year. The DWP has previously stated that those closest to the State Pension age in their 60s and 70s are being sent letters first, but anyone who believes they may have been impacted can verify their eligibility online using the self-identification tool on GOV.UK.

As of the end of September last year, HMRC had processed 37,289 applications from people over State Pension age and 5,428 from those under 66. To date, the DWP has paid out £42 million in arrears payments.

Home Responsibilities Protection (HRP) underpayments

The DWP estimates it underpaid between £300m and £1.5 billion of State Pension due to errors with the recording of HRP.

HRP was a scheme intended to safeguard parents’ and carers’ entitlement to the State Pension and was superseded by NI credits from April 6, 2010. HMRC is utilising NI records to identify as many individuals as possible who might have been entitled to HRP between 1978 and 2010 and have no HRP on their NI record.

After May 2000, it became compulsory to include a NI number on claims so people claiming after this point will not have been affected. It’s estimated that tens of thousands of people are due an average of £5,000 in back payments.

HMRC and DWP are also running a broader campaign to ensure that everyone who may be eligible is aware of the corrections exercise.

Before you begin the online HRP check

You’ll be queried about any gaps in your National Insurance record. If you’re unable to locate your National Insurance record online or don’t know the answers to some questions, you can select ‘Do not know’ and you’ll be guided on how to obtain this information.

How to utilise the online HRP tool

You might still be eligible to apply for HRP, for full tax years (6 April to 5 April) between 1978 and 2010, if any of the following were true:

• you were caring for a child with your partner who claimed Child Benefit instead of you
• you were getting Income Support because you were caring for someone who was sick or disabled
• you were caring for a sick or disabled person who was claiming certain benefits
• you were claiming Child Benefit for a child under 16

Who automatically qualified for HRP

The guidance on GOV.UK indicates that most individuals automatically received HRP if they were:

• getting Child Benefit in their name for a child under the age of 16 and they had given the Child Benefit Office their National Insurance number
• getting Income Support and they did not need to register for work because they were caring for someone who was sick or disabled

A comprehensive guide to HRP can be found on GOV.UK here.