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Daily Mirror
Daily Mirror
Business
Ruby Flanagan

'Hundreds' to receive £90,000 compensation after pension rules changed - who can claim

War widows who were forced to give up their pensions after their spouse died will receive a lump sum compensation payment of nearly £90,000 after a long-running campaign.

The compensation scheme will benefit the widows of military personnel who died as part of their service but later remarried or moved in with a partner.

Between 1973 and 2015, this group of people were forced to give up their "lifelong" War Widow pension when they began a new relationship.

However, the pension rules changed in 2015 and they no longer needed to do this - however, the rule was not backdated and a few hundred people were not set to be reimbursed the money they lost.

The Government confirmed last week that those affected by this would receive a one off lump sum payment of £87,500 to make up for the lost income.

The payments will come through a joint initiative from the Ministry of Defence and the Treasury.

The changes come after years of campaigning by the War Widows Association, which was backed by the Telegraph newspaper.

Up to 380 people are thought to be affected and could receive the £87,500 payment.

The Government has confirmed that it was "not possible" to restore their pensions in full, and that the lump sum payment would be taxed.

In a video posted to Twitter, Veterans' affairs minister Johnny Mercer welcomed the announcement and shared that around £33million had been made available for the scheme.

However, this figure has not been confirmed by either Government department.

John Glen chief secretary to the Treasury said: “The legacy of those who made the ultimate sacrifice for this country endures, and it’s only right that we honour that service by doing right by their loved ones.

“This Government will always stand behind our armed forces, their families and veterans and this payment is a token of our continued commitment to them.”

The application window for the payment will open later this year and will remain open for two years with support for applicants provided by the Veterans UK Call Centre.

The Ministry of Defence has not confined the exact date of when the application process will open and we will update this article when we know more.

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