HMRC\u2019s second permanent secretary Angela MacDonald has been asked to lead a specialist team to help with casework backlogs following the\u00a0Civil Service Pension Scheme’s\u00a0change of administration.<\/p>\n
Civil Service World\u00a0was informed yesterday that MacDonald, who is also HM Revenue and Customs\u2019 deputy chief executive, is set to work with Capita on coming up with a formal recovery plan for the Civil Service Pension Scheme.<\/p>\n
Outsourcing giant Capita took over administration of the pension scheme at the beginning of last month and says it has been left with a backlog of 86,000 cases from previous administrator MyCSP,\u00a0 when the expected number was 37,000.<\/p>\n
Civil service union PCS this morning shared further insight on MacDonald’s new role with the pension scheme.<\/p>\n
\u00a0The union published a letter from its general secretary Fran Heathcote to Cabinet Office perm sec Cat Little, sent on 19 January, which referred to the department telling unions in their most recent meeting that there are plans to set up a team, led by MacDonald, to \u201creally get to know what\u2019s gone on\u201d and \u201cto develop a recovery plan and to consider the choices that need to be made\u201d.<\/p>\n
In the letter, Heathcote called for the team to give \u201cfull and meaningful consideration to returning the physical administration of the pension scheme to the civil service\u201d.<\/p>\n
Unions have raised concerns about people waiting for months for pension payments, causing significant financial hardship including having to borrow money, struggling to meet mortgage obligations, and having to sign up for Universal Credit. Many CSW\u00a0readers have been in touch to raise similar concerns since the scheme transferred over from MyCSP to Capita last month. The issues in many ways reflect those that occurred following the transfer from Capita to MyCSP in 2014.<\/a>\u00a0<\/p>\n In her letter, Heathcote said PCS is \u201cgravely concerned about the current crisis facing the administration of the Civil Service Pension Scheme\u201d. She pointed to comments from Little in July 2025 that \u201cCapita has probably underestimated some of the complexity <\/a>of the transition\u201d and \u201cwe simply cannot afford for this transition not to go well\u201d, describing them as \u201ceerily prophetic\u201d.<\/p>\n The Cabinet Office confirmed on 14 November that it had decided to go ahead with the transfer date of\u00a01 December. Heathcote said in her letter to Little that unions were told at the time that the Cabinet Office was \u201cconfident” that on day one\u00a0the service would be at least as good as one provided\u00a0MyCSP.<\/p>\n