Earlier this year, the Government said that it would be making ex-gratia payments of £5,000 to Equitable Life policyholders who bought their annuity before 1992. The Treasury announced yesterday that it has now made the payments to affected policyholders.
This means that around 9,000 policyholders will be receiving their payment before Christmas, which is much earlier than original expectations.
Bob Neill MP welcomed the news, commenting:
‘The Conservative Party has always been committed to rectifying the injustices suffered by all Equitable Life policyholders, and I am delighted that this group of pensioners will be receiving compensation in time for Christmas. It has been a hard fought battle, but the result is extremely positive’.
‘The Government has now written to those receiving the payments’.
Notes
Justice for 9,000 Equitable Life pensioners. The Government announced in March that it would make ex-gratia payments of £5,000 to 9,000 elderly policyholders who bought their With Profits Annuity from Equitable Life before 1992. The Government will also make an extra £5,000 available to those on the lowest incomes who are on pension credit.