Source · Select Committees · Public Accounts Committee
Recommendation 23
23
Accepted
Cabinet Office preparing contingencies for Capita's IT readiness, awaiting September 'go/no-go' decision
Conclusion
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 to share with the Committee confidentially.50 It also stated that in the worst-case scenario it plans to continue as it is today.51 However, currently there is no agreement with MyCSP to keep its digital systems in place. The Cabinet Office stated that it was undergoing a reset plan over the summer with the intention of then making a “go/no-go” decision in September on whether to continue or not 45 Q 72 46 C&AG’s Report, para 3.6 47 C&AG’s Report, para 3.7 48 CSP0003 49 Q 72 50 Q 74 51 Q 76 13 with the transition as planned.52 It has since written to the Committee to provide an update on progress made to produce a new delivery plan for the transition, which it says is due to be completed in mid-August 2025, and to elaborate on how it is ensuring that Capita implement IT improvements, and how it intends to monitor improvements.53 Market of suppliers
Government Response Summary
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 May 2026. It also states 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.
Government Response
Accepted
HM Government
Accepted
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.