The Department for Work and Pensions (DWP) is issuing lump sum payments of up to £3,200 to state pensioners whose top-ups went missing for months. The DWP admitted to 69-year-old expat Sandra Poynter, living in Cyprus, that her £8,500 state pension top-up had gone astray. She was informed of the error by a DWP staff member in January 2026.
Delayed Payments and Compensation
Personal finance experts report that many state pensioners may be affected, with This is Money receiving numerous complaints about vanished top-ups. The issues arose after a rush to fill gaps in National Insurance records before a temporary deal expired in 2025, which had allowed retirees to purchase voluntary top-ups dating back to 2006/07.
Ms Poynter expressed her frustration: "At this point I am feeling a bit desperate. I paid my National Insurance top up last July. After waiting a few months and a few phone calls to the DWP I discovered they had lost my payment. I did eventually have an email from them in January 2026 saying they would look into this matter, but still have heard nothing." She added that when calling the DWP, she was given the run around and told to wait.
Now, Ms Poynter has received a backpayment of nearly £3,200, an additional £100 for the delay, and an increase to her state pension of £207 per week. The Labour government stated: "We've written to Mrs Poynter to apologise profusely, offer her a redress payment and confirm her increased state pension entitlement. We've also confirmed she'll receive an arrears payment within three to five working days."
Expert Criticism
Former Pensions Minister Steve Webb, now a partner at consultant LCP, commented: "It is shocking that someone can be left in the dark for nine months having handed over thousands of pounds to boost their pension. For those living outside the UK it can be especially hard to chase up when everything goes quiet, and it seems that there may be many other people in a similar situation still waiting for their top-ups to be applied." He suggested that a single person should process the added contribution and calculate the new pension entitlement, rather than passing the case to another government department to join the back of the queue.
