New data confirmed on June 16, 2026, has highlighted a persistent systemic issue within the UK’s HM Revenue and Customs (HMRC) and the Department for Work and Pensions (DWP) involving National Insurance (NI) number mismanagement. While HMRC maintains that such errors occur in less than 0.01% of the 87 million active NI records, the scale of the error affects thousands of individuals approaching or currently in retirement.
The issue often arises when a single NI number is inadvertently issued to two different people. This “untangling” process, while intended to correct records, frequently results in lost contribution years or missing credits for caregiving, as seen in recent cases reported to This is Money. When records are adjusted, retirees may find their historical contributions incorrectly allocated or entirely missing, leading to reduced state pension entitlements.
Affected individuals are advised to verify their NI record through the government’s online portal. If discrepancies are found—particularly regarding missing years for Carers Allowance or other credits—taxpayers must contact the DWP to initiate a formal review. Experts warn that without official documentation for past benefits, reclaiming these credits remains a significant administrative challenge.