The mad waste of public money by UK’s leading nuclear giants to pursue costs against a whistleblower at your expense

Sellafield

One aspect of the second recent cost hearing against whistleblower and human resources consultant Alison McDermott by Sellafield and the Nuclear Decommissioning Authority which was not covered is the cost to the public and us the taxpayer.

During the hearing Deshpal Panesar, KC Sellafield’s lawyer from Old Square Chambers, rather pompously told the hearing that the fact Sellafield was claiming £20,000 off Alison was ” to protect the public purse”. He and the Nuclear Commissioning Authority which was also claiming £20,000 made a huge point that her “unreasonable behaviour” by pursing them at a tribunal meant she should pay a penalty.

What is now emerging from Freedom of Information requests is that the cost to bring this action far outweighs the money they will receive even if they are 100 per cent successful.

Both nuclear giants have already spent a huge sum – nearly £700,000 of taxpayer’s money – fighting Alison, whose consultancy was terminated, after her report revealed bullying and fear among staff at the nuclear site in Sellafield.

Alison McDermott

Now it is known from FOI that both organisations have spent £59,000 between them on preparing the case for the second hearing on top of money they had already spent for the first costs hearing. This doesn’t include the cost of hearing itself which is about another £20,000 considering Sellafield’s lawyers Deshpal Paneser. KC charges £5500 a day for the hearing and Emma Mills, from DLA Piper, who charges £3000 a day . The NDA employed another barrister, Rachel Levene and solicitors Pinsent Mason. Plus there were paralegals at the hearing.

Now one would think that after a High Court judge had ruled that the first costs decision was ” unsafe” and said his view should be taken into account by judge Stuart Robertson, who has heard the second hearing, there would be pause for thought. Both nuclear organisations are also lucky they will not face an appeal. So any sane organisation would decide to leave it there.

Instead we have the economic madness, which no commercial company conducting a risk assessment would follow, of throwing more money at bringing a second case when there is not the slightest chance of getting their money back. Indeed even if they were 100 per cent successful they stand to lose £40,000 and that is by no means certain they will get that. It is only that it is our money from the taxpayer they can throw it around like confetti.

So why are they doing it? The decision must have been endorsed by Euan Hutton, the new chief executive.

Despite previously serving as a Mental Health Champion alongside Ms. McDermott to foster a kinder and more supportive work environment, Mr. Hutton is now relentlessly pursuing costs against her.

In various YouTube videos, Mr. Hutton espouses the importance of treating people with kindness, yet his actions towards Ms. McDermott are anything but.  He actually says that “kindness is putting in the time to think about how different people act differently, that’s what kindness is all about”  [second video from 20 seconds onwards].    By hounding her for costs related to her whistleblowing for the second time, he has subjected her to immense stress and anguish, betraying the values he once claimed to champion.

See https://www.facebook.com/watch/?v=1938802916244720

Euan Hutton’s video.

Now Sellafield receives £6.7 million daily from taxpayers. Mr. Hutton’s decision to waste these funds on a vindictive legal battle against a whistleblower is an egregious misuse of public money. It is a slap in the face to taxpayers who trust Sellafield to use their contributions responsibly.

The Guardian has reported that the National Audit Office will investigate Sellafield’s substantial expenditure.

https://www.theguardian.com/business/2024/feb/15/spending-watchdog-launches-investigation-into-sellafieldI intend to make the National Audit Office aware of this blog post, as it highlights the unethical and hypocritical behaviour of Mr. Hutton. I think the public would strongly disapprove of their money being used to persecute a brave individual who spoke out against wrongdoing.

Mr. Hutton should be held accountable for his actions, which have caused harm to Ms. McDermott and undermined Sellafield’s commitment to employee wellbeing and to a culture of openness.

But perhaps this is the real reason for using public money in this way is to silence anybody else who might be thinking of exposing the dark secrets inside Sellafield. She is not the only whistleblower.

I approached Sellafield and the NDA about this waste of money but both said

“These issues are still subject to legal proceedings. We cannot comment further at this stage.”

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How Rishi Sunak caused chaos at the Parliamentary Ombudsman’s office by blocking a smooth transition to Rob Behren’s successor

Nick Hardwick pic credit: Wikipedia

Today’s scoop in the Financial Times by the paper’s Whitehall Editor, Lucy Fisher, has finally revealed why it has taken nearly three months for the Parliamentary Ombudsman’s board not to be able to appoint a permanent successor to Rob Behrens, the outgoing Ombudsman, who has just retired.

It appeared Nick Hardwick, was the Parliamentary Ombudsman Board’s choice. Hardwick is a former chair of the Parole Board who resigned after judges overturned a board decision to give parole to John Worboys, a notorious convicted rapist who attacked 12 women while working as a taxi driver. The proposal to release Worboys on parole was a cause celebre for the tabloids at the time. Rishi Sunak, who has to approve the appointment, appeared to have blocked it by sitting on a decision for nearly three months.

William Wragg MP

William Wragg, the chair of the Commons Public Administration and Constitutional Affairs Committee, (PACAC)blew the whistle in Parliament on Monday night when he said, without naming Nick Hardwick, that his appointment had “seemingly been declined by Number 10.”

He also criticised the government for ” somewhat irregular behaviour ” during the appointment process. This is not surprising as William Wragg was on the panel who approved Nick Hardwick’s appointment.

This week PACAC released papers that appeared to give all the details of the recruitment process and a letter from Sir Alex Allan, Boris Johnson’s former independent adviser on ministerial interests, who resigned his job after Johnson refused to sack Priti Patel, then home secretary, after he found she had been bullying and swearing at her senior civil servants. He is now a senior non executive member of the Parliamentary Ombudsman board.

The papers do show that Rishi Sunak took a great interest in the appointment. In an earlier letter to William Wragg approving a salary of between £171,500 and £189,900 for the new Ombudsman plus a choice of a civil service or judicial pension, he wrote: “I would be grateful if the House could continue to work closely with the Government as the campaign to appoint the new PHSO progresses.”

The recruitment process does appear to have attracted a wide range of people. It shows that initially 52 people applied for the job. There were 31 male applicants, 20 female, and one who preferred not to say. Some 30 were white British, 5 Indian, 4 white non British,2 African, 2 Other mixed,1 Asian and White,1 Black African and White,1 Caribbean,1 Irish,1 Pakistani and 1 Ukrainian. Three preferred not to say.

Some 44 were heterosexual and two were gay and six preferred not to say or didn’t answer. Four people were disabled.

This was whittled down to 12 people – 7 males, 4 females and a person who preferred not to disclose a sex. Ten of the last 12 were White British and 1 white non British and one who preferred not to say. Nine of the people were heterosexual and one was gay and others preferred not to say.

The panel who interviewed them was chaired by Philippa Helme, a 63 year old independent panelist and a former principal clerk at the table office in the House of Commons. The other members are Shona Dunn (Second Permanent Secretary, Department of Health and Social Care) to cover the Ombudsman’s NHS role; Colleen Harris(independent panellist and appointed by the King to the King Charles III Charitable Foundation; Peter Tyndall (formerly President of the International Ombudsman Institute) and William Wragg MP.

Philippa Helme -pic credit: Houses of Parliament

All went smoothly and on January 8 Nick Hardwick, aged 66, who is now Professor of Criminal Justice at Royal Holloway College was chosen. Then the problems began when the appointment arrived on Rishi Sunak’s desk. There was silence. What is missing from public disclosure is a desperate letter written by Sir Alex Allan on January 29 which revealed that the whole process was in jeopardy and they might have to appoint an ” interim Ombudsman ” or else the PHSO could not function ( see my blog here ) . It was then that Rebecca Hilsenrath, a recently appointed chief executive at PHSO, came into the frame. The moment the PHSO and the committee knew I had seen the letter on the PACAC website and was going to publish, it mysteriously disappeared from public view. I was told it had been ” prematurely published.”. Now I know this wasn’t true because the letter has not resurfaced in the documents released this week.

As time went on and by March there was no endorsement from Rishi Sunak, things got more and more desperate. So Sir Alex Allan and William Wragg hatched a plan to appoint Rebecca Hilsenrath as an ” acting Ombudsman” so the office could continue to function near normally. This involved getting King Charles III to present a motion to Parliament proposing her appointment so MPs could approve it on the nod. This happened on Monday.

Rebecca Hilsenrath

Now there is glowing description of Rebecca Hilsenrath’s qualities and experience in the papers released this week.

But once again there are some remarkable omissions about her career which have been swept under the carpet. When she was chief executive of the Equality and Human rights Commission, she carried out a campaign to sack black and disabled employees who happened to be strong trade unionists – a remarkable feat for a body that should champion diversity.

Her country cottage in north Wales

Also she was exposed in Times newspaper for a gross breach of the lockdown rules at the height of the pandemic when she drove from north London to north Wales to spend Christmas with her family of five children. She tried to say her holiday cottage was her main home – staying there for months. She was unmasked by a diligent local councillor who noted that unlike Michael Fabricant MP and Andy Street, the West Midlands Tory mayor, who never set foot in their nearby country cottages, was flagrantly breaching the lockdown.

This caused her trouble at the EHRC but she was thrown a lifeline when she got a job at the Parliamentary Ombudsman’s Office then run by Rob Behrens. She has now achieved a remarkable promotion courtesy of Rishi Sunak’s apparent blocking of Nick Hardwick for the top job.

All in all this is a sorry tale but to my mind the main point is that Rishi Sunak has usurped his powers to try and control a Parliamentary body that should be totally independent of government. If Nick Hardwick is not appointed after what looks like a fair process I shall not trust the new Ombudsman to be really independent but just a creature of a failing and interfering Prime Minister who is deservedly unpopular with the electorate today.

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The overlong and continuing battle for 50swomen to get their delayed pensions: My interview with Marie Greenhalgh on South Manchester’s Radio Wythenshawe FM

This week I gave a long interview with radio presenter Marie Greenhalgh who is also a 1950s born woman. It is as much a chat as an interview.. For those who missed it and would like to have heard it here it is – courtesy of the community radio station. I was absolutely delighted to be given such a chance to explain in detail this sorry story which has never been properly covered by mainstream media and TV. After the chat there is some music and reaction to my interview and chat.
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50s women are back to Square One after the Parliamentary Ombudsman “cops out” of awarding them a penny

Rob Behrens departing Parliamentary Commissioner

Today’s report from Robert Behrens, the Parliamentary Ombudsman, is one of the most underwhelming publications ever to come from a public figure asked to redress a major injustice.

After toiling over his report for some seven years all he can produce is a mouse of a publication which leaves some 3.5 million women born in the 1950s having to fight their corner all over again to get compensation for waiting six more years to get their pension.

We should have known it was likely to be lacklustre after his first preliminary report conceded only “partial maladministration ” for the way the Department for Work and Pensions failed to communicate with the women about the long wait they would have to get their pensions. This immediately lowered the amount of compensation he might award at the end – ruling out the highest level. And WASPI under Angela Madden, were totally stupid not to challenge this at the time, particularly as evidence emerged during the judicial review brought by the ” Back to 60 ” campaign that the DWP’s own civil servants had urged the then secretary of state, Peter now Lord Lilley, to run a campaign to tell the women as long ago as 1997. They knew the women hadn’t realised the implications.

Spurious objections from the DWP

Now today’s report completely ducks the issue, make no recommendation for an award and caves into spurious objections from the DWP that it is either too costly to find the people affected or too costly to pay out. Given the DWP know the details of every pensioner bank account as they have to pay them every month, this is plain ridiculous. At least he spared them the other claim from the DWP that some of the 50s women were fraudsters if they put in a claim. No doubt this civil servant who wrote this relished prosecuting and jailing these elderly women like the managers who led the Post Office pursued the sub postmasters.

There is some guidance in his report which appears to suggest he might have thought giving them a range of compensation from £1000 each to £2900 but there is no detailed mechanism of how this could be done.

And as for asking Parliament to decide, the big question is how? For start there is no agreement on the level of compensation. Is it the £1000 – £2900 hinted by the Ombudsman ? Is it the £10,000 promised by Angela Madden and the All Party Parliamentary Group on this issue? Should it be the £58 billion that the former Labour chancellor, John McDonnell, promised during Labour’s last election campaign?Or should it be full restitution of all the money promised by CEDAWinLAW, which could end up with some getting over £40,000. There is plenty of space for everyone to disagree and delay.

What is the mechanism that will force the DWP to give into demands from Parliament? The answer is that there is none. Angela Madden today was spectacularly naive in thinking that is is wonderful that Parliament will decide.

Parliament controlled by Government whips

For a start the Parliamentary agenda is almost totally controlled by Government whips. And do people really think the government, which opposes paying anything, is going to make Government time available to debate something they don’t want to hear? Also Labour may be reluctant to use one of its Opposition days to debate the issue because it would force them to declare their hand and then be subject to barrage of attacks from the Tories claiming everybody’s taxes were to go up to pay these women? Only the Scottish National Party could risk calling a debate as the bill falls on Westminster not Holyrood.

A backbencher could put up a motion but I gather this would not be binding on the DWP who would safely ignore it.

The Parliamentary Ombudsman, who retires this week, could have given a clear uncompromising lead on what could have been done but flunked it. Frankly if I read the Jerusalem Post correctly he has give more uncompromising support to the Israeli government’s bombing of Gaza than he has defending the rights of cheated pensioners in this country.

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William Wragg acts as Parliamentary Ombudsman Office faces life without a boss

William Wragg

William Wragg, the Tory chair of the Public Administration and Constitutional Affairs Committee, has belatedly intervened in the growing crisis over the failure of the Prime Minister to appoint a new Parliamentary Ombudsman to replace Rob Behrens who quits on March 31.

In a letter published on the committee’s website Mr Wragg asks Sir Alex Allan, the senior non executive director on the Parliamentary and Heath Services Ombudsman board, what measures will be taken to keep the office going and what is going to happen to people who, via their MP, want to lodge a complaint to the Ombudsman. He also raises whether reports can be published and complaints investigated. Particularly at risk is the long awaited report on the partial maladministration for 50swomen who faced a six year delay getting their pension.

The letter discloses that recruitment for a new Ombudsman began last October and a panel chose the winning candidate at the beginning of January. Since then the Cabinet Office and Rishi Sunak, who has to approve the appointment, have not responded. The silence from Whitehall and Downing Street means no motion can be put to Parliament appointing a new Ombudsman, who then appears before the PACAC for a pre appointment hearing. PACAC has only a couple of weeks to set up the hearing.

Sir Alex Allan

The publication of the letter by the committee is in fact a response to a letter written to Mr Wragg from Sir Alex warning of dire consequences for the corporate body if no one was appointed and suggesting that Rebecca Hilsenrath, the current chief executive is appointed as an Interim Ombudsman. The letter was briefly on the committee’s website but withdrawn the moment I published a blog about it.

Part of it read:


I am aware that, due to the preferred candidate’s notice period, there will be a need to appoint an
interim Ombudsman and that the view remains that this should be Rebecca Hilsenrath, Chief
Executive Officer at PHSO. We have yet to receive confirmation of this, despite the urgency, which
is making it difficult for the organisation to properly plan for leadership change.
As a corporation sole, the organisation cannot operate without an Ombudsman in post. Any delay to
the appointment puts the organisation at considerable risk. In particular because key casework
decisions could not be taken it puts at risk all of the work to reduce the queue and improve service
to complainants. Clarity of the timeline for both the permanent and interim Ombudsman appointments is
therefore pressing,

However the antiquated legislation suggests that the PHSO board cannot appoint its own acting ombudsman. It has to be appointed from outside the board.

The legislation specifically refers to an “Acting Ombudsman” and, as such, cannot be appointed by the PHSO Board of Directors.

Section 3A of the 1967 Act deals with the appointment of an Acting Commissioner who serves at the pleasure of His Majesty.

The Acting Commissioner can only serve for a maximum of 12 months or until a new Commissioner is appointed (whichever is sooner).

The full text of William Wragg’s letter is here.

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Exclusive:Rishi Sunak delays appointment of new Parliamentary Ombudsman and throws the organisation into crisis

Sir Alex Allan, board member of the Parliamentary and Health Service Ombudsman. Pic credit: BBC

Email from Sir Alex Allan revealing problem removed from Parliamentary website after I made a press inquiry

Parliament and the Health Service will not have a new permanent Ombudsman from April because the Prime Minister has delayed approving a new replacement who anyway cannot start work at the office because he or she has to give notice to leave their present job.

Details of the crisis at the office are revealed in an email sent on January 29 from Sir Alex Allan, a senior non executive member of the board of the Ombudsman’s office, to William Wragg, Tory chair of the Commons Public Administration and Constitutional Affairs Committee (PACAC).

Sir Alex is a former high flying civil servant who chaired the Joint Intelligence Committee, and was the Prime Minister’s independent adviser on ministerial standards until 2020 when he resigned after Boris Johnson refused to accept his report on Priti Patel, the former home secretary, concluding that her behaviour was bullying.

The email pleads with William Wragg to contact Downing Street to resolve the problem as a matter of urgency.

His email warns:

“As a corporation sole, the organisation cannot operate without an Ombudsman in post. Any delay to the appointment puts the organisation at considerable risk. In particular because key casework decisions could not be taken it puts at risk all of the work to reduce the queue and improve service to complainants. Clarity of the timeline for both the permanent and interim Ombudsman
appointments is therefore pressing.”

A pre-appointment hearing - part of the normal appointment process - had been pencilled in by PACAC to quiz the new Ombudsman but that has been pit back and there is no date for a future hearing. The page announcing the future hearing on the website is now blank.

He goes on: “”I am pleased that the Panel, led by Philippa Helme, has identified a preferred candidate but I am concerned about the apparent delays since then. We have yet to receive confirmation that the preferred candidate has been agreed by the Prime Minister. “

Rebecca Hilsenrath, chief executive at the PHSO

Sir Alex says the board’s preferred solution is to appoint an interim Ombudsman and suggests Rebecca Hilsenrath, the current chief executive who moved there from the Equality and Human Rights Commission, would be the ideal candidate.

But Whitehall has not even approved this. He writes: “We have yet to receive confirmation of this, despite the urgency, which is making it difficult for the organisation to properly plan for leadership change.”

The crisis facing the Ombudsman’s Office raises a whole of questions which I tried to put to them.

This includes questions like whether Rebecca Hilsenrath, if appointed as an interim, will be able to announce case decisions affecting complaints about hospitals and the NHS, or will they have to wait until they have a permanent appointment?

From Sir Alex’s letter it is also clear if neither people are approved by Downing Street and the Cabinet Office, the office would cease to function altogether until this was sorted out.

The impasse could also affect the timing of the publication of the final report by the outgoing Ombudsman, Rob Behrens, on maladministration in 50s women’s delayed pensions. WASPI have been waiting years for its publication and have seen the draft report which has already been leaked on this website. See the blog here.

A PHSO spokesperson said:

“The process to appoint a new Ombudsman is ongoing. We are in discussions about interim arrangements should they be needed. Our important service for the public continues.”

A spokesperson for PACAC said the committee could not comment but the original pre appointment hearing had been scheduled for last month but because they had not had confirmation from the Cabinet Office that the government had approved the appointment no date was fixed. The email should not have published on their website which is why it was taken down. This suggests that Rishi Sunak has been delaying a decision to approve the appointment for weeks.

For those interested the text of the email is published below:

From the Senior Non-Executive, Sir Alex Allan KCB
Sent by Email Only: pacac@parliament.uk
29 January 2024
Dear Mr Wragg,
I am writing to convey my concerns about the slippage in the timetable to appoint a new
Parliamentary and Health Service Ombudsman (PHSO) and to ask for your support, as Chair of the
Public Administration and Constitutional Affairs Committee, in raising these concerns with No 10.
I am pleased that the Panel, led by Philippa Helme, has identified a preferred candidate but I am
concerned about the apparent delays since then. We have yet to receive confirmation that the
preferred candidate has been agreed by the Prime Minister. That meant that the planned preappointment scrutiny hearing had to be cancelled and has not been refixed.
I am aware that, due to the preferred candidate’s notice period, there will be a need to appoint an
interim Ombudsman and that the view remains that this should be Rebecca Hilsenrath, Chief
Executive Officer at PHSO. We have yet to receive confirmation of this, despite the urgency, which
is making it difficult for the organisation to properly plan for leadership change.
As a corporation sole, the organisation cannot operate without an Ombudsman in post. Any delay to
the appointment puts the organisation at considerable risk. In particular because key casework
decisions could not be taken it puts at risk all of the work to reduce the queue and improve service
to complainants. Clarity of the timeline for both the permanent and interim Ombudsman appointments is
therefore pressing,

I have written to Baroness Neville-Rolfe to convey these concerns and I would be grateful if you
would consider raising them with the Prime Minister’s office.
Yours sincerely,
Sir Alex Allan

Senior Non-Executive Director

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Official – Work till you drop: Women in their 50s expect to have to stay in work long after retirement age

The Office for National Statistics – the independent official body which produces official figures for work and inflation in the UK – has come up with some alarming predictions for women born in the 1950s 1960s and 1970s.

They show that post the Covid pandemic there has been a big drop among women expecting to have enough money to retire and enjoy a life of leisure on their pensions. As a result a significant proportion of women now aged 50 to 65 are planning to stay in work – either with reduced hours or full time when they reach the retirement age of 66.

An organisation called Rest Less, which acts a community and an advocate for the over 50s, has analysed these figures and estimates that nearly one in two women pensioners now expect to have to continue working after retirement age.  Either they will work their existing hours (13%) or work with reduced hours (31%).

Huge inequalities between men and women’s pensions

The main reasons for this is pensioner poverty among women and huge inequalities between men and women when it comes to their pension pots. Not only are women less likely to get full state pensions – often they have missed years – than men but there is a big discrepancy in private pensions. The ONS figures show while 78 per cent of men will fund their retirement with a private pension, only 68 per cent of women have one. And the inequality goes on and on. Some 47 per cent of men will fund their retirement through savings, compared to 40 per cent of women. And only seven per cent of men will rely on funds from their partner, while 18 per cent of women will rely on their partner to help fund their retirement.

These figures were compiled 10 months ago in September last year. I hear that the ONS does not plan to update them since the survey was a ” one off” following Covid. Curiously a lot of publicity was given to people dropping out of the workforce when they got to 50 – I can only think that the majority must have been men or women married to men with a very good private pension.

Stuart Lewis, Chief Executive of Rest Less, commented: “Years of gender based earnings disparity has resulted in a large pension savings gap between men and women, leaving many women in their 50s and 60s in real financial precarity.  Nearly half of women aged 50-65 said they plan to continue working in some capacity after reaching state pension age – a number that is likely to have risen even further given the subsequent cost of living crisis.

…..“‘In the last recession of 2009, women could retire at 60 and receive the state pension; today it is 66.  Many women aged 50-65 are stuck between a rock and a hard place – they struggle to find work due to age discrimination or a lack of flexible work opportunities but they are too young to claim their state pension putting them in a vulnerable financial position as they approach retirement. Whilst the state pension age for men and women may now be equal, this data shows that the retirement fortunes of men and women remain anything but equal.”

One person who is caught in this trap is Back to 60 campaigner Michaela Hawkins known as Mac to her friends

Michaela Hawkins

“.I was forced to stay in work longer than I wanted to or hoped for. 
“My husband is 10yrs older than myself so was relying on retiring at 60 so we could enjoy some quality time together. When SPA was raised this devastated our plans.  It would have meant if I retired before receiving my SP we would have had to survive below the breadline. 
“Austerity along with the pandemic put untold pressure on both myself and husband. I was transferred to work in care home from Day services during Covid. As my husband was in high vulnerable category during this time you can imagine the stress this put on both ourselves. 
“Another reason why I felt stressed also is because as a woman gets older her body is not the same. The physical aspects of working in care sector takes its toll.  When you come home from work you feel exhausted. But if you’re caring for loved one or helping out your children with childcare which I done both you have got no time for any sort of quality life.” 

now tax allowance frozen

“Now the Tax allowance that’s been frozen.  Now I’m retired I’ve been hit with a tax bill for over £1300  on top of cost of living crisis this is going to push many 50s women over the top. “

UPDATE : Since then there has been another demand for £1300.

Mac writes:

“I then received a letter saying I owe them a further £1,300. If this wasn’t payed then they would get in touch with debt collectors.

It took me 2 1/2 hrs to get through to tax office to query this.
It couldn’t be done online.
Although I disputed the amount I owe they were insistent that I did owe that amount.
I was then put through to debt management. Who I got to say was accommodating. But the problem is when older people receive letter from HMRC saying they will bring in debt collectors or as people our age call them bailiffs they become confused and frightened. 
Then to be put on hold for that length of time is again frustrating to say the least. 
When you think how HMRC is quick to chase up pensioners who in good faith think they payed their fair taxes and are chased up and then you got those who knows how to play the system get away with it. It makes me so angry.”

Certainly Backto60, which campaigns for full restitution for all the 1950s women who lost up to six years of their pension, is inundated with stories of women living on the poverty line, unable to heat their homes properly or use their ovens to cook because they can’t afford the fuel bills.

Instead the government concentrates on getting everybody back to work rather than seeking to compensate people who have already worked for decades and now should be able to put their feet up if that’s what they want to do without fear of paying the bills.

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DWP in 2022: Record underpayments, record benefit fraud and deleted child benefit records

Last year I reported that the national audit office had qualified the Department for Work and Pensions accounts for the 34th year running because they were inaccurate and it couldn’t balance the books.

Auditor General threatens to refuse to pass pension accounts next year if DWP carries on like this

But this year the DWP has surpassed itself – it is now the 35th year that the DWP has had its accounts qualified.

Benefits overpaid officially fell a little from the pandemic year – £8.2 billion instead of £8.6 billion- but when you strip out the extra cost of living payments – they are much higher than the pre pandemic year of 2019 -£7.8 billion compared to £4.4 billion – a massive increase.

Most of the fall in the amount DWP overpaid benefits related to fraud in Universal Credit. The amount of Universal Credit that DWP overpaid fell from 14.7% (£5.9 billion) of expenditure in 2021-22 to 12.8% (£5.5 billion) in 2022-23. But again compared to the pre pandemic year of 2019 this was a rise.

DWP estimates that Universal Credit claims started after the COVID-19 peak (March to June 2020) were overpaid by 13.1% in 2022.This remains significantly higher than the 9.4% that it overpaid all Universal Credit claims in 2019-20.

The reduction is mainly due to a fall in the level of self employment claimants and the reintroduction of rules designed to prevent self employed claimants understating their income.

On average 33% of Universal Credit claims were incorrect in 2022-23,equivalent to 1.6 million claims. Most of these claims (24% of all Universal Credit claims) were overpaid.

The report says: “Around 40% of overpaid claims were to people with no entitlement to any payment at all, which is equivalent to 10% of all Universal Credit claims. Some of these were marginal cases where small amounts of undeclared income or claimant circumstances (such as attending hospital) made the whole claim invalid. However, some other claims were overpaid as much as £1,800 per month; some were completely fictional; and some related to serious and organised crime.”

Pensioners lost hundreds of millions of pounds in underpayments

The record underpayments of pensions and benefits topped £3.3 billion. A large number were caused by people claiming Personal Independence Payments who had not updated the DWP about their increased medical needs.

But it was pensioners who were cheated by the DWP into not receiving their full pension entitlements that is worrying the National Audit Office.

The report says: “The level of State Pension underpaid by DWP has been trending upward for six years to 0.6% (£670 million) in 2022-23. Most of these underpayments (£580 million) were a result of official error. DWP believes that part of the increase is due to changes in how it measures State Pension error and that its previous estimates may have been understated. This brings the total fraud and error rate for State Pension, including overpayments, to 0.7%.

I will keep the gross level of incorrect payments in State Pension under review and may have to include State Pension in my regularity qualification in future years if the estimated rate continues to rise.”

There is £1.2 billion owed to 165,000 married pensioners, widows and those over 80- all caused by official errors in the past. It will take until the end of 2024 before everyone is paid.

And now the DWP has discovered another 210,000 pensioners owed up to £1.5 billion because officials did not record their right to paid national insurance contributions while looking after children

The report says; “These issues affect people (mostly women)who received Child Benefit before 2000 and whose National Insurance record was not updated to reflect periods of HRP (Home Responsibilities Protection) they were entitled to. DWP cannot begin to correct cases until HM Revenue & Customs (HMRC), which administers both National Insurance and Child Benefit records, corrects the National Insurance records and notifies DWP.
“HMRC intends to begin work to identify people who may have missing HRP in autumn 2023 and will write to them to invite them to apply for missing periods of HRP to be added to their National Insurance record.”

However it turns out that HMRC have destroyed many of the people’s records.to meet Data Protection laws so it may not be able to find them.

Then there are 10 million people claiming Universal Credit have not been updated properly – a small proportion of these may have also been underpaid their State Pension. HMRC began correcting records in February 2023 and expects this work to be completed by the end of March 2024.

The report adds; “DWP has still to determine how many people have been underpaid and by how much they were underpaid. Of those missing the Universal Credit National Insurance credits, 137,000 have already reached State Pension age.

Roll call of this year’s DWP top officials and their bonuses and pensions

Meanwhile the DWP continues to pay out bonuses to senior staff. Peter Schofield, the permanent secretary, did not take a bonus this year and his pension payments were half last year’s at £16,000. His full package is £210,000 a year compared with £240,000 the previous year.

Neil Couling, the change director who is responsible for universal credit, got a £5000 bonus and had a £52,000 deduction in his pension pot, in a year when he presided over record fraud over universal credit.

Debbie Alder, director of people, got a £15,000 bonus, and put £59,000 into her pension pot, giving her a package worth £200,000 this year.

Jonathan Mills, responsible fo the Labour policy at the DWP, left in June with a £5000 bonus. He is now director of energy markets and supply at the Department for Energy Security.

Nick Joicey, director general of finance who earned £80,000 for five months is now chief operating officer and second permanent secretary of Defra. He is also the husband of Rachel Reeves, the shadow chancellor.

Simon McKinnon, director general and chief digital officer, who left in April 2023, Got a final year bonus of £15,000 and £62,000 in his pension pot, taking his final package to £240,000. He was responsible for reorganising the DWP’s system to bring it back in house.

Amanda Reynolds, director of service excellence, also got a £15,000 bonus and £61,000 into her pension pot, taking her package to £240,000 for providing what some claimants and pensioners would claim was hardly a first class service.

Katie Faringdon, director general for disability, health and pensions, got no bonus but had a £175,000 package including £44,000 into her pension. Over the last two years she has put pension benefits worth £131,000 into her personal pension fund. I am sure the millions of pensioners facing delayed pensions and still waiting to be reimbursed for mistakes by officials into their pensions will be pleased for her!

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Half baked and half finished: How courts and tribunals burned through £1 billion on computers to improve access to justice and failed

Royal Courts of Justice

It is portrayed by HM Courts and Tribunals Service as “our vision for reform to make the justice system more straightforward, accessible and efficient.”

But this £1.3 billion digital court reform programme has been exposed by the National Audit Office and last week by the House of Commons Public Accounts Committee for having failed to meet its objectives. This ambitious programme started in 2016 has been much delayed and only half completed. As MPs commented last week it has ” burned through” over £1 billion of public money and is the on the verge of running out of cash before half the benefits can be realised.

No one would argue that the courts and tribunal system is antiquated and needs reform. One only has to watch judges in the employment tribunal system writing down what claimants and respondents are saying by hand in courts that don’t keep proper records of hearings to realise how antiquated it is.

But once again it looks like that Whitehall has fallen for an expensive simplistic digital solution for a service which is incredibly wide ranging and complex. The aim was to create a common computer platform to serve 44 different aspects of justice from the criminal courts to magistrates courts and from the family and divorce courts to the probate service and the tribunal service.

Timetable five years behind schedule

It also had a timetable to be completed by 2020. Now we will be lucky whether the truncated programme will be up and running by 2025. Also £1.3 billion won’t be enough – there is only £120 million left to spend and that is nowhere enough to meet what is needed. And £22 million was wasted trying to integrate the Crown Prosecution Service into the system which didn’t work.

Also there are promises of big savings by going digital. This is always promised and we will see whether that really happens.

Also plans to have fully digital probate and divorce services had not fully worked. The MPs said:

“HMCTS found that significant proportions of its online divorce and probate cases required manual interventions from staff and in March 2022 HMCTS identified that 55% of divorce cases could not be completed online.”

In addition it appeared that both services discriminated against ethnic minorities.

Both the Bar Council and the Law Society were not impressed. The report says:

The Law Society “explained that there were functionality issues with online portals for family services, such as family public law. These issues led to problems, including instances of solicitors not getting necessary notifications which made the system difficult to use and, in some cases, significantly delayed cases. It told us that it had frequently expressed concerns to HMCTS about the functionality and design of some reformed services.”

System developed in a vacuum – Bar Council

The Bar Council told MPs:” the designers and producers of the common platform appeared to
have a limited understanding of working needs and practices, and “displayed a marked reluctance for the system to be designed in conjunction with, and for the benefit of, professional court users”.

It said it looked like the system had been designed in a vacuum.

As for the general public, it looked like that it was going to be a problem at magistrates courts ,purely because most of the defendants didn’t have any legal representation and therefore might not have proper access to the system to defend themselves.

Meanwhile the project continues so far with the pausing of integrating possession orders, special tribunals except for the Criminal Injuries Compensation Tribunal.

Dame Meg Hillier MP

Dame Meg Hillier MP, Chair of the Committee, said:

“Our courts were already stretched thin before the pandemic, and the backlogs now faced pose a real threat to timely access to justice. These are services crying out for critical reform, but frustratingly HM Courts & Tribunal’s attempts appear in some cases to be actively hindering its own staff’s ability to carry out their jobs. In particular, the roll-out of the Common Platform digital system was a blow upon a bruise for pressured court users.”

Given there are already many issues whether the courts do deliver justice, this rather botched computer programme does not give you much faith in the system.

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