Betrayal of stay-at- home mothers: 8m women lose state pensions after Government u-turn

More than eight million women who took time out of work to care for their children have lost their chance of a full state pension after a Christmas u-turn by the Government.

Ministers have dropped plans to give women with a partial pension entitlement the chance to make up the shortfall before they retire, it emerged last night.

The decision was slipped out in the Lords as Parliament adjourned for the holiday break, to the astonishment of peers who had been promised action earlier this year.

The Government had offered to back an amendment to the Pensions Bill that would have allowed women to make up shortfalls in their state pension entitlement by paying in extra cash.

But in what the Tories claimed last night was a 'betrayal of stay at home mums', ministers said they have now decided not to back the scheme...

Of the 12 million women over 45 who have paid contributions, seven out of 10 are not entitled to a full state pension. 

In July ministers said they were willing to allow women with a shortfall to make lump sum payments worth up to nine years of contribution to boost their pensions.

Last night campaigners were left fuming after discovering that the Government quietly dropped the pledge.

They claimed it was a blow to women who chose to devote time to raising children rather than working, and was at odds with Gordon Brown's commitment to promoting the family.

Peers who were told of the move in the House of Lords gasped in dismay when the news was announced after a request for a ministerial update..….

Age Concern said the decision would 'condemn many more women to poverty.' Spokesman Michelle Mitchell said: 'This is a slap in the face for thousands of women in or approaching retirement who are being penalised for taking time out of work to care.'

LibDem pension spokesman Lord Oakeshott said: 'Gordon Brown should be ashamed of himself for sneaking this out just before Christmas. He must have a heart of stone to do this to millions of women and carers who had had their hopes raised by the Government that they could buy back missing years which stopped them qualifying for a full pension.'..….

Michelle Mitchell, Age Concern’s Communications Director, said: “There’s no doubt that reforms to the pensions system from 2010 will be good news for women born after April 1950 but this will be cold comfort for the thousands born before this date. Even when the reforms come into effect in 2010, a quarter of women reaching state pension age will still not receive a full basic state pension.

“Everyone approaching retirement should be given the opportunity to make more flexible National Insurance contributions, to ensure an adequate income in later life. The Government’s shameful u-turn on this important amendment will condemn many more women to poverty.”….

Maternity leave was extended to 52 weeks, with statutory pay for 39 weeks, for babies born on or after 1 April 2007. Fathers were allowed two weeks' paid paternity leave.….