Government admits Capita is a 'prime candidate' for insourcing

During a House of Lords debate this week, there were repeated calls for outsourcing giant Capita to be held accountable for the current pensions chaos.

Thousands of retiring and partially-retiring members of the civil service pension scheme are yet to receive their pension because of Capita's mishandling of the contract.

Speaking after Capita missed a Cabinet Office deadline of 30 June to get its services up to contractual standards, a government minister conceded that the contractor has “completely failed” to restore normal service levels to the scheme's administration.

The minister also said that the government is committed to expanding insourcing and described the civil service pension scheme as "a prime candidate for future insourcing once immediate operational stability is secured."

A number of peers also questioned whether the contract was now being reconsidered and if Capita should now be removed from consideration for any future contracts

Enough is enough

As PCS continues to highlight, people have been plunged into financial crisis. A large number of which have long-term health conditions that are being exacerbated by the stress of not receiving their pensions. 

PCS General Secretary Fran Heathcote said: “Capita have proven time and time again that they should not have been awarded this contract. Action not words is needed now to end the chaos and misery caused by Capita. The contract must be insourced without delay, any existing contracts including the Synergy one should be immediately reviewed and Capita should be removed from consideration going forward. Civil servants and civil service pensioners deserve better.”

You can email your MP to ask them to intervene in this civil service pension scheme crisis by completing our e-action. You can also join our rally and lobby of parliament on 7 July.