Select Committee · Public Accounts Committee

Civil service pensions

Status: Open Opened: 6 May 2025 18 recommendations 9 conclusions 1 report

The civil service pension scheme has 1.7m members, either in work or retired. It paid out just under £8bn to scheme members in 2023-24, with its total liabilities coming to nearly £190bn in the same year. The Cabinet Office contracted with MyCSP to administer the scheme in 2014, taking over from Capita, who are due …

Clear

Reports

1 report
Title HC No. Published Items Response
49th Report - Administration of the Civil Service Pension S… HC 888 24 Oct 2025 27 Responded

Recommendations & Conclusions

9 items
2 Recommendation 49th Report - Administration of the Civ… Accepted

Set out plan for remaining pension members affected by Remedy, including communication timeline

More than half of members who are drawing their pension and affected by Remedy are facing unacceptable waits until as late as 2027 to have their pension options set out for them. Applying remedies to members requires MyCSP to send Remedial Service Statements (RSSs) to affected members, presenting them with …

Government response. The government agrees and states that its new pensions administrator, Capita, is undertaking discovery work to develop delivery plans for remaining affected members. It expects to conclude discovery by December 2025 and communicate detailed delivery plans and timescales to members …
HM Treasury
3 Recommendation 49th Report - Administration of the Civ… Accepted

Set out plan to ensure commercial capacity, contract management and adequate customer service from suppliers

The Cabinet Office has not demonstrated it has sufficient capacity and capability to manage the MyCSP contract effectively and has now failed on two occasions to adequately manage the transition from one supplier to another. The Cabinet Office accepts that the terms of the contract with MyCSP does not enable …

Government response. The government agrees and states it has implemented a new contract with 38 Performance Indicators, including Key Performance Indicators, and a system of Service Points with associated penalties for various levels of failure, to ensure robust accountability and improved customer …
HM Treasury
5 Conclusion 49th Report - Administration of the Civ… Accepted

Develop contingency plans for Capita's pension administration transition and update Committee on decision

There is a clear risk that Capita will not be ready to take over administration of the Scheme as planned on 1 December 2025. The planned date of transfer of administration from MyCSP to Capita is 1 December 2025. However, of the eight transition milestones which have so far passed, …

Government response. The government stated it has existing contingency requirements with MyCSP for system rollback and an option to extend support until May 2026 if needed. It confirmed the decision to transfer services to Capita on 1 December 2025 and informed the …
HM Treasury
1 Conclusion 49th Report - Administration of the Civ… Accepted

Committee scrutinised Civil Service Pension Scheme administration and planned transfer to Capita

On the basis of a report by the Comptroller and Auditor General, we took evidence from the Cabinet Office and from MyCSP on the administration of the Civil Service Pension Scheme (the Scheme) and arrangement beings made for the planned transfer of administration from MyCSP to Capita on 1 December …

Government response. The government outlined that Capita's financial model specifies minimum staff levels and will provide 6-monthly updates. Capita is actively recruiting an additional 60% of staff, many already undergoing training, to manage backlogs. The government confirmed the service successfully transitioned to …
HM Treasury
9 Recommendation 49th Report - Administration of the Civ… Accepted

Capita's staffing levels require replanning due to delayed IT automation and missed milestones

Capita is planning to have 33 fewer staff in its first year running the Scheme than the 332 MyCSP had at the start of 2025.16 When we queried whether that would be enough to provide the right levels of service to customers, the Cabinet Office told us that it had …

Government response. The government agrees and states that Capita's financial cost model identifies the minimum staffing levels required and that Capita is recruiting an additional 60% of staff to bolster the team and deal with backlogs, with a large number already recruited …
HM Treasury
11 Conclusion 49th Report - Administration of the Civ… Accepted

MyCSP ceased Remedy processing; Cabinet Office plans to contact remaining pensioners by March 2027

MyCSP is no longer processing Remedy cases whilst the Cabinet Office considers how it wants to deal with these remaining cases. We asked the Cabinet Office if it has a plan for when the remainder of those who are currently drawing their pension can expect to be contacted about their …

Government response. The government agrees to provide revised options for the Remedy period (2015 to 2022) for the remaining 56% (circa 132,100 impacted members) with discovery work expected to conclude in December 2025. They expect to be able to communicate detailed delivery …
HM Treasury
12 Recommendation 49th Report - Administration of the Civ… Accepted

Cabinet Office lacks clear method for prioritising remaining Remedy cases amidst data complexity

The Cabinet Office was unable to tell us how it will decide which members may be waiting up until March 2027 and explained that this would be determined by the data and how the plan is constructed.25 It said that the data comes from multiple sources, in some cases it …

Government response. The government agrees and is working on implementing the Remedy, including providing revised options to the circa 132,100 impacted members who are drawing their pension, with discovery work expected to conclude in December 2025 and plans to communicate detailed delivery …
HM Treasury
21 Recommendation 49th Report - Administration of the Civ… Accepted

Capita's pension scheme transition experiences significant delays, impacting IT and payments withheld

The planned date of transfer of administration from MyCSP to Capita is 1 December 2025. However, of the eight transition milestones which have so far passed, only one has passed with all elements delivered on time.45 At the end of March 2025, the Cabinet Office had withheld £9.6 million from …

Government response. The government agrees with the recommendation and has requirements in place with MyCSP to roll back the system should issues arise during the transition to Capita, allowing service delivery to continue with MyCSP until 31st December 2025, with options to …
HM Treasury
23 Conclusion 49th Report - Administration of the Civ… Accepted

Cabinet Office preparing contingencies for Capita's IT readiness, awaiting September 'go/no-go' decision

We checked with the Cabinet Office what contingency plans it had should Capita’s IT systems not be ready on the transition date. The Cabinet Office asserted that it had several plans, including a more gradual roll-out of the Capita technology, and other options which are commercially sensitive, which it agreed …

Government response. The government states it has requirements in place with the current provider MyCSP in the event of a failure in the implementation cutover including the provision to roll back the system and options to extend support until the end of …
HM Treasury

Oral evidence sessions

2 sessions
Date Witnesses
26 Mar 2026 Chris Clements · Capita Public Services, Richard Holroyd · Capita View ↗
7 Jul 2025 Cat Little CB · Cabinet Office, Duncan Watson · MyCSP, Fiona Ryland · Cabinet Office, Muna Rowe · Cabinet Office View ↗

Correspondence

25 letters
DateDirectionTitle
21 May 2026 To cttee Letter from the Prospect Deputy General Secretary relating to Dealing with Civi…
14 May 2026 To cttee Letter from the CEO of Capita Public Services relating to Civil Service Pension…
28 Apr 2026 From cttee Joint PAC-PACAC letter to the Minister for the Cabinet Office relating to the C…
15 Apr 2026 To cttee Letter from the CEO of Capita Public Services relating to the Administration of…
15 Apr 2026 To cttee Letter from the Permanent Secretary of the Cabinet Office relating to the Admin…
15 Apr 2026 To cttee Letter from the CEO of Capita Public Services relating to the Administration of…
15 Apr 2026 To cttee Letter from Chief Executive Officer of MyCSP relating to the Administration of …
25 Mar 2026 To cttee Letter from the Permanent Secretary at the Cabinet Office relating to Administr…
23 Mar 2026 To cttee Letter from the Managing Director of Capita Pension Solutions relating to an up…
12 Mar 2026 To cttee Letter from the Chair of the Committee to the Chief Executive Officer of MyCSP …
12 Mar 2026 To cttee Letter from the Chair of the Committee to the Chief Operating Officer of the Ci…
2 Mar 2026 To cttee Letter from the Managing Director of Capita Pensions Solutions relating to a fo…
23 Feb 2026 To cttee Letter from the Permanent Secretary at the Cabinet Office relating to a follow-…
23 Feb 2026 To cttee Letter from the Permanent Secretary at the Cabinet Office relating to a follow-…
13 Feb 2026 To cttee Letter from the Chair to the Permanent Secretary at the Cabinet Office relating…
9 Feb 2026 To cttee Letter from the Permanent Secretary at the Cabinet Office relating to the Civil…
9 Feb 2026 To cttee Letter from the Chair of the Public Accounts Committee to the Permanent Secreta…
6 Feb 2026 To cttee Letter from the Permanent Secretary of the Cabinet Office regarding Civil Servi…
2 Feb 2026 To cttee Letter from the Permanent Secretary at the Cabinet Office relating to the Commi…
1 Dec 2025 To cttee Letter from the Head of Public Affairs and Government Relations at Capita relat…