Over 194,000 parents across the UK are missing out on an average £5,000 boost to their state pension due to a long-standing error within the Department for Work and Pensions (DWP). Despite acknowledging the issue, the DWP has admitted it’s facing significant challenges in reaching and reimbursing those affected.
Understanding the Home Responsibilities Protection (HRP) Error
What is HRP?
Home Responsibilities Protection (HRP) was a scheme that ran from 1978 to 2010, aimed at supporting those who spent time out of paid work while caring for children or dependents. It allowed Child Benefit recipients—primarily mothers—to reduce the number of qualifying years needed for the basic state pension.
Where Things Went Wrong
Although HRP credits were supposed to be added automatically for eligible individuals, the DWP found in 2021 that hundreds of thousands of records were incomplete. As a result, many people had fewer qualifying years on their National Insurance record, leading to reduced pension payments.
DWP Cuts Funding Despite Acknowledged Problem
In its latest annual report, the DWP made a significant reduction in the amount allocated to correct the issue—from £1.2 billion to just £29.8 million. This dramatic cut reflects the department’s low expectations of being able to resolve the matter efficiently.
The report noted:
“Correcting HRP is inherently challenging… substantial numbers of people have not responded to government calls for them to apply to add missing HRP.”
Public Response and Government Action
Outreach Efforts So Far
Since autumn 2023, HMRC sent over 370,000 letters to individuals who may be affected. However, only 12,379 pension underpayments were corrected in 2024/25, compared to a mere 419 the year before. In total, around £104 million was paid out during the latest compensation period.
New Long-Term Strategy
Due to the underwhelming response, the DWP has now shifted its approach from a short-term repayment initiative to a long-term compensation programme. This transition removes any fixed deadline for claims, allowing individuals to apply at any time for missing HRP credits.
How to Check and Claim Your Entitlement
Anyone who believes they may be missing HRP years can apply retrospectively. The application can be made:
- Online
- By Post
- Or by contacting the HMRC National Insurance Helpline at 0300 200 3500.
Criticism from Former Officials
Sir Steve Webb, a former pensions minister, has criticized the government’s handling of the issue, stating:
“The letter-writing campaign has been a dismal failure… the Government itself does not expect these efforts to have much impact.”
Webb blames the complex online process for the low engagement, suggesting that many affected individuals may be unaware or unable to navigate the system.
Official Government Response
A government spokesperson defended the DWP’s actions, stating:
“We are committed to helping those impacted by historical errors. We’ve contacted over 370,000 potentially affected individuals and created an online tool to assist with the claims process.”
The spokesperson also emphasized that awareness efforts will continue, encouraging people to regularly check their National Insurance records for discrepancies.
Despite significant outreach, hundreds of thousands of parents—mainly mothers—remain underpaid due to missing HRP credits in their pension records. With an average of £5,000 at stake, it’s crucial that individuals born between 1978 and 2010 who received Child Benefit review their National Insurance records.
While the DWP has shifted to a long-term compensation model, the onus remains on individuals to initiate claims and ensure they receive what they’re rightfully owed.
FAQs
Who is eligible to claim missing HRP credits?
Anyone who received Child Benefit between 1978 and 2010 and was not automatically credited with HRP may be eligible to apply for a correction to their National Insurance record.
How can I check if I’m missing HRP credits?
You can use the online tool provided by HMRC, contact their National Insurance helpline, or request a statement of your National Insurance contributions to verify your record.
Is there a deadline to claim missing HRP credits?
No. The DWP has now made the compensation scheme ongoing, which means there is no fixed deadline for affected individuals to make a claim.