A former DWP employee explains how to check the annual State Pension uprating letter for payment errors.

More than £800 million of State Pension underpayments has been identified so far in a correction exercise into historical errors, according to the latest figures from the Department for Work and Pensions (DWP). In an update published last week, the DWP confirmed that between January 11, 2021 and March 31, 2025, the checking process identified 130,948 underpayments, with a total of £804.7 million owed.

The Department said that in some cases, people may have received an overpayment of another benefit such as Pension Credit. It also said there may be some cases where the person has died and the DWP has been unable to identify an estate to which to pay arrears.

Those affected by errors include married women on low State Pensions whose pension was not automatically uplifted when their partner retired, people whose pension was not automatically reassessed on the death of their spouse, and over-80s whose State Pension entitlements were not automatically increased.

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Cases may be checked for more than one potential cause of error so a claim may be counted in more than one category, the DWP said.

Another State Pension correction exercise is looking into missing historic periods of Home Responsibilities Protection (HRP), leading to inaccurate State Pension payments.

Between January 8 and September 30, 2024, the exercise identified 5,344 underpayments, with total arrears of around £42 million.

A DWP spokesperson said: “Our priority is ensuring pensioners receive the dignity and security they deserve in retirement and that state pension underpayment rates remain as low as possible.

“We have now completed the vast majority of cases in the exercise as planned with a small number of outstanding cases due to further documentation needed from the customer.”

The latest statistics from the DWP show there are now 13 million people across the UK, or living abroad, receiving the State Pension. This includes 4.1m people on the New State Pension and 8.8m on the Basic State Pension.

While the majority of State Pension payments are correct, former DWP employee, Sandra Wrench is urging all pensioners to check their annual uprating letter – which should all be received this month – and simplifies how those who started receiving their State Pension before April 2016 can quickly spot a potential payment error, and challenge it.

Sandra told the Daily Record: “There has been a lot of coverage in the media about the underpayment of the State Pension, but not a lot of information about how pensioners can check for themselves whether they are in receipt of the correct amount or not.

“Having worked in DWP for 42 years, 18 years of which were spent on State Pension, my advice to pensioners is to be proactive, and the following information may be of use in ascertaining whether you have been underpaid or not.”

How to check your uprating letter from DWP for underpayments

The following information is for those people who reached State Pension age before April 2016 and on the Basic State Pension.

Widows and divorcees should get 100% basic state pension which is now £176.45 a week. Any additional pension and graduated pension is paid on top of this basic amount.

Married women and Over 80s should be in receipt of at least the 60 per cent Basic State Pension rate of £105.70. Any additional pension and graduated pension is paid in addition to this basic amount.

Over 80s also get the 25 pence age addition, so £105.70 plus 25 pence – £105.95. The 25 pence age addition has been that amount for years.

What to do if you think your State Pension is wrong

Sandra explained that if you discover your Basic State Pension is less than it should be, phone DWP on their change of circumstances telephone number 0800 731 0469, state you have been underpaid and ask them to review your State Pension.

Why do some women have a lower rate of Basic State Pension?

Sandra said: “One possible reason is that women who had their children prior to April 1978 had no protection for their State Pension if they stayed at home to look after their children, as Home Responsibilities Protection (HRP) was not introduced until April 1978, and you got this protection until your child was 16. In April 2010 HRP was replaced by National Insurance (NI) Credits for parents and carers, and you got these credits until the child was 12.

“The government (DWP) issued a statement in July 2023 that a lot of women who had children between 1978 and 2000 may not have had HRP added to their NI accounts, so consequently may have been underpaid their State Pension. Prior to 2000 you did not have to put your National Insurance number on the child benefit form when you claimed child benefit.”

HMRC are currently going through backdated records, but may not necessarily hold old records. Sandra suggests looking at your NI record to see if there are any non-qualifying years from 1978 when you may have had a child/children under the age of 16. If you have missing years, then put in a claim for HRP.

If you do not have access to a computer, the telephone number for the NI helpline is 0300 200 3500.

Divorced women

Sandra explained: “If you get divorced after you have claimed your state pension, you need to notify DWP on 0800 731 0469 as this is a change of circumstances, and if you have less than 100 per cent Basic State Pension, it could be increased to 100 per cent using your ex-husband’s NI contributions.

“Any additional pension and graduated pension you have, will be paid in addition to your Basic State Pension. DWP will not know that you are divorced unless you tell them. You will need to send in your decree absolute to DWP for confirmation of your date of divorce.”

She also explained that once your State Pension has been awarded to you, it cannot be taken away, so if you were divorced when you came to claim your State Pension and entitled to 100 per cent Basic State Pension, then if you remarried a week later you would still be entitled to the 100 per cent Basic State Pension.

Bereavement Support Payment

Sandra also explained that Bereavement Support Payment replaced Widows Benefits in 2017, but you can only claim this under State Pension age.

She said: “You must claim within three months of your spouse/civil partner’s death to get the full rate of the benefit. You can claim up to 21 months after their death but you will get fewer payments.”

The DWP number to call for people on the Basic State Pension is 0800 151 2012.

Cohabiting parents with dependent children can apply for bereavement benefits from February 9, 2023, when the law was changed.

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