Labour was accused of hypocrisy last night after abandoning a vow to compensate women hit by increases in the state pension age.

Work and Pensions Secretary Liz Kendall said government would not pay a penny to the 3.8million ‘Waspi women’ who were told they would have to work five years longer to receive their pension.

Senior Labour figures, including Sir Keir Starmer, Rachel Reeves, Angela Rayner and Ms Kendall, all backed the women’s campaign in opposition.

In 2022, Sir Keir signed a pledge calling for the women affected to receive ‘fair and fast’ compensation. Last year, he said they had faced a huge injustice’. But yesterday, the Prime Minister said the Government could not afford the estimated £10.5billion cost – which would have seen a payout of up to £3,000 to each of the more than 3million affected.

The decision triggered a wave of anger with Angela Madden, chairman of the Women Against State Pension Inequality (Waspi) group, describing it as an ‘insult’.

In the Commons, Ms Kendall faced a backlash from Labour MPs and cries of ‘shame’.

Labour MP Brian Leishman said he was ‘appalled’ by the decision, telling Ms Kendall: ‘Waspi women certainly do not need words of disappointment and they certainly do not need hollow statements. What they need is justice.’

Tory pensions spokesman Helen Whately said it was ‘no surprise’ Labour had broken its pre-election pledges to the Waspi women.

Sir Keir Starmer was a supporter of compensation for Waspi women as recently as 2022

Secretary of State for Work and Pensions Liz Kendall (right) holding a placard in support of the WASPI campaign.

‘Yet again, they said one thing to get elected and are now doing another,’ she said.

‘Just like they had “no plans” to take the winter fuel payment from 10million pensioners. They shouldn’t expect to get away with this hypocrisy.’

Meanwhile former pensions minister Ros Altmann accused ministers of turning their backs on older people, adding: ‘It has been clear there is little sympathy for pensioners, who are simply not a priority for public spending.’

Campaigners, led by the Waspi group, argued millions of women born in the 1950s affected by the changes were required to rethink their retirement plans at relatively short notice and suffered financial hardship.

The Parliamentary and Health Service Ombudsman (PHSO) suggested that compensation ranging between £1,000 and £2,950, could be appropriate for each of those affected.

But Ms Kendall said a flat rate compensation scheme would not be ‘a fair or proportionate use of taxpayers’ money’.

And she said designing a bespoke scheme to help those worst affected would impose a ‘significant cost and administrative burden’ on her department. The Prime Minister backed the decision, saying: ‘I do understand, of course, the concern of the Waspi women. But also I have to take into account whether it’s right at the moment to impose a further burden on the taxpayer, which is what it would be.’

WASPI campaigners greeted by a van with The Prime Minister’s face on during a demonstration in October

The ‘WASPI’ women have been pushing for a huge payout from the government

Ms Madden, who has campaigned for justice for the Waspi women for years, said: ‘This is a bizarre and totally unjustified move which will leave everyone asking what the point of an ombudsman is if ministers can simply ignore their decisions.’ Stephen Flynn, the SNP’s leader at Westminster, described Labour’s U-turn as ‘shameless’, adding: ‘When it was politically convenient to do so, Labour backed the Waspi women. Today, they have chosen to betray them.’

In opposition, Labour were relentless in exploiting the Waspi campaign.

Ms Kendall describes herself on her own website as a ‘long-standing supporter’.

At the 2019 election, the party committed itself to paying billions of pounds in compensation. At the time Angela Rayner, now the deputy prime minister, said: ‘Any government should act responsibly to these women.’