DWP update as 194,000 Brits owed 5,000 for state pension mistake | UK | News [Video]

The Department for Work and Pensions (DWP) has announced a significant update regarding state pension underpayments, affecting thousands of people.

Newly released figures show that only 400 out of a potential 194,000 individuals have received payouts so far, with an average amount of around £5,000 owed per person.

The issue, which emerged last year, primarily impacts parents—mostly stay-at-home mothers—who claimed Child Benefit but did not have their National Insurance records properly updated with Home Responsibilities Protection (HRP). HRP reduces the number of qualifying years needed to claim the state pension for those not working and paying National Insurance.

This problem originated from National Insurance numbers not being consistently recorded when people claimed Child Benefit before 2000, resulting in missing HRP periods between April 6, 1978, and April 5, 2000. Last autumn, HMRC and the DWP committed to identifying those affected over the next 18 months.

However, the recent data indicates that progress has been slow, with only £2.2 million …