Capita’s administration of the Civil Service Pension Scheme (CSPS) has been widely criticized following severe delays in processing pension quotes, lump sums, and first instalments. These issues have caused significant financial hardship for newly retired staff, prompting a government recovery plan and intense parliamentary scrutiny.
Capita took over administration on December 1, 2025, and inherited a massive backlog of roughly 86,000 pending cases.
Speaking at Business Questions at Westminster, Mrs Morden challenged the Leader of the House on when the Government will be issuing an update on the processing plan.
Mrs Morden said: “A number of constituents continue to really struggle as a result of Capita’s delays in processing their civil service pensions. Many of them have been retired for months without income. I know the Paymaster General has been holding Capita to account in various ways, but with it continuing to miss its own deadlines, can we have an update from the Paymaster General?”
The Leader of the House Sir Alan Cambell replied: “As we have said before, these delays are unacceptable. That is not the service that people deserve, and resolving this issue is a matter of urgency. We have mandated a deadline of 30 June 2026 for Capita to restore all civil service pension scheme service levels to standard contractual agreements. The Government will continue to monitor this issue closely and press for swift action.”
The Civil Service Pensioners Alliance released statement saying : “CSPA ‘Civil Service Pensioners Alliance’ continues to meet weekly with the Cabinet Office to raise concerns about CSPS administration and to escalate individual member cases, particularly where significant delays or unresolved issues persist, so that they are addressed as part of the recovery process.
“Beyond the unacceptable delays in pension payments, one of the most persistent frustrations for members is the lack of clear, timely and meaningful communication from Capita. This erosion of trust is compounding distress and must be addressed as a matter of urgency”