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Drive to Help Women Boost their State Pension

June 2008

Women pensioners could boost their state pension or even be in line for a windfall payment under special terms.

But they need to act quickly as the arrangement, which allows people to pay for missed National Insurance contributions, will be unavailable in less than two years.

Women who have gaps in their National Insurance record for years between April 1996 and April 2002 are entitled to ‘buy back’ the missing years at a special rate. Any improvements in State Pension are backdated to when women first drew their State Pension and could result in a lump sum pay out.

Pensions Reform Minister, Mike O’Brien, said:

‘Generous rules enable women to boost their pension or to receive a backdated sum, typically about £1,400. Whilst making voluntary National Insurance contributions won’t be suitable for everyone, we want to give people the right information to help them make a choice.’

Internet Link: Pensions service website, Pensions service advice and Press release