Civil Servants: Workplace Pensions

The Cabinet Office awarded the contract to administer the Civil Service Pension Scheme to Capita in November 2023 under the previous government.

The delays faced by pension scheme members in accessing their pensions are unacceptable.

We recognise the significant pressure on surviving spouses, particularly in cases involving a prior ill-health retirement. Capita has prioritised the most urgent cases and by the end of February, all death in service cases were either settled or progressed to the final stage or awaiting a member response. A similar position will be reached for ill health retirement applications by mid-March.

This prioritisation extends to the surviving spouses of these members; once an ill-health retirement is processed, any subsequent survivor benefit claims are fast-tracked within the highest priority recovery stream to ensure payments reach the bereaved without further undue delay.

We have set up a dedicated team to work urgently with Capita, with 650 full time staff across Government and Capita and restoring normal service as soon as possible. We have agreed a clear recovery plan with Capita, which includes specific milestones and accountability targets for delivery.

Alongside these arrangements, Capita has prioritised payment of tax-free pension lump sums for members who had received quotations but were not in receipt of their benefits, with the vast majority of these having been paid in February.

The latest position of the Civil Service Pension Recovery Plan Update (2 March 2026) is available at this weblink: https://www.gov.uk/government/publications/civil-service-pension-recovery-plan-updates/civil-service-pension-recovery-plan-update-2-march-2026