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Civil Servants: Workplace Pensions

Asked by John McDonnellLabourCabinet OfficeTabled Answered 16 March 2026UIN 118497

The question

To ask the Minister for the Cabinet Office, whether the cost of resolving the McCloud remedy cases is included in the £239 million contract with Capita to manage the Civil Service Pension Scheme.

Answered by Satvir Kaur

The £239 million contract with Capita covers the day-to-day management of the Civil Service Pension Scheme, but it does not include the specific cost of resolving the remaining McCloud remedy cases. The Cabinet Office is funding this complex rectification work through a separate, dedicated project, Remedy Project 7, at an additional cost of £45 million.

As scheme manager, the Cabinet Office is meeting this cost directly to fulfil its legal obligation to resolve the age discrimination identified by the courts. By treating this as a distinct project, the department ensures greater accountability for the remedy's delivery while preventing these complex legacy cases from impacting "business as usual" pension services for other members.

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