Source · Select Committees · Public Accounts Committee
Recommendation 22
22
Not Addressed
Cabinet Office finds Capita underestimated pension transition complexity, causing significant delays
Recommendation
We questioned the Cabinet Office how confident it was that there would be a smooth transition and that members would receive no disruption to service. The Cabinet Office acknowledged that delays to key deliverables were a significant concern though noted that each milestone has a range of work packages that sit underneath it and therefore focusing on the completion of the whole milestone probably belies how much work has actually happened. It told us that it believed Capita had underestimated the complexity of the transition and the length of time it would take to implement the technology and that it was working with Capita to produce a new delivery plan with realistic dates.49
Government Response Summary
The government responds to a different recommendation on contingency plans for the Capita transition rather than addressing confidence in a smooth transition for members.
Government Response
Not Addressed
HM Government
Not Addressed
5. PAC conclusion: There is a clear risk that Capita will not be ready to take over administration of the Scheme as planned on 1st December 2025. 5. PAC recommendation: • The Cabinet Office needs to fully develop contingency plans should Capita be unable to take over the administration on 1st December 2025. • The Cabinet Office should write to the Committee with an update on the transition plans following the decision to go ahead with the transition. 5.1 The government agrees with the Committee’s recommendation. Recommendation implemented 5.2 The Cabinet Office has requirements in place with the current provider MyCSP in the event of a failure in the implementation cutover. This includes the provision to roll back the system with MyCSP should issues arise across the cutover period, this will allow the government to continue to deliver the service with MyCSP until 31st December 2025. Additionally, the government has options with MyCSP to extend support until the end of May 2026, should this be required. 5.3 The Cabinet Office made a decision that the services will transfer to Capita on the 1st December 2025. It is unlikely that the government will extend the MyCSP contract as a result of this. 5.4 The Cabinet Office has ensured that there is sufficient contingency in the Capita systems to ensure the delivery of service is increased this includes tightening of the commercial levers which will hold Capita to account for failures. 5.5 Capita has worked collaboratively with relevant stakeholders and suppliers to develop strategies for identification and resolution of problems and risks. The Cabinet Office is confident that the service proposed and tested by Capita is robust and will generate real change to the members via increased automation and digitisation. 5.6 The Cabinet Office has informed the Committee chair of the decision to proceed with the transition to Capita.