PCS writes to Cat Little about Pensions Crisis

There has been a fundamental failure to deliver by Capita since it took over administration of the Civil Service Pension Scheme in December.

PCS is gravely concerned about the crisis facing the administration of the Civil Service Pension Scheme. PCS general secretary Fran Heathcote has written to Cat Little, civil service chief operating officer for the Cabinet Office, with a list of issues for urgent attention.

Following the handover of administration of the pension scheme from MyCSP/Equiniti to Capita on 1 December 2025, there were initial problems which have since escalated to a failure of the privatised service to deliver the primary function of the scheme administration – to pay the pensions of retirees in a consistent and timely manner.

Financial support

At a recent meeting with the Cabinet Office, we were told that it was considering discussing with employers the possibility of them financially supporting staff who are suffering financial hardship, because of the late payment of pensions etc. We believe that it is imperative that this arrangement needs to be confirmed.

We have heard nothing on Capita’s intended resourcing and the estimated timetable for backlog clearance,

Return to civil service

PCS believes that the administration of the Civil Service Pension Scheme should be brought in-house, and thereby under direct ministerial control. PCS has asked Cat Little if this will happen if Capita cannot urgently address the current failings.

What we are asking

PCS is seeking the following urgent clarification and assurances:

  • What resources Capita are committing to clearing the backlog
  • A firm estimate on how long the backlog will take to clear
  • That Capita will prioritise hardship cases
  • That voluntary early exit schemes will be delayed if it is necessary because of the above prioritisation
  • That the team led by Angela McDonald will fully consider returning the administration of the pension scheme to the civil service.

Read the letter in full.

Ask your MP to take action

Write to your MP, asking them to write to the minister for the Cabinet Office to urgently resolve the issues. 
 

Please email [email protected] if you are experiencing issues with your Civil Service Pension.