Committee publication · Correspondence · 6 February 2026
Letter from the Permanent Secretary of the Cabinet Office regarding Civil Service Pensions, 11 November 2025
From: Public Accounts Committee
Inquiry: Civil service pensions
Summary
The Cabinet Office Permanent Secretary informs the Public Accounts Committee that the Cabinet Office has approved transferring Civil Service Pension Scheme operational services to Capita on 1 December 2025. Following due diligence and risk assessment, and assurances from Capita's leadership on payroll, security, testing, and disaster recovery, the go-live decision proceeds. Capita will TUPE 360 staff from MyCSP and recruit 196 additional employees; PCS trade union recognition is expected by the transfer date.
Key findings
- Cabinet Office has approved the go-live decision for Capita to assume operational services of the Civil Service Pension Scheme on 1 December 2025, following due diligence and risk assessment
- Capita has addressed four key transition risk areas: payroll, security, testing, and disaster recovery, with measures in place to mitigate remaining risks
- Staffing arrangements improved: 360 MyCSP staff will TUPE to Capita on 1 December, with 196 additional recruits to support day-one operations
- Capita has agreed to recognise the PCS trade union; formal recognition framework expected by the transfer date following extensive engagement
- Service improvements anticipated through increased automation of pension calculations and AI adoption, though residual transition risks acknowledged
Tone
FactualTopics
Key actors
Catherine Little CB, Sir Geoffrey Clifton Brown MP, Public Accounts Committee, Cabinet Office, Capita, MyCSP, PCS trade union
Notable line
“Capita has provided the assurances I required in addition to our own detailed assessment of risks to inform our decision making.”
Key Quotes
“I can confirm that the Cabinet Office has made the decision to approve the transfer of operational services of the Civil Service Pension Scheme to Capita on the 1 December”
“I am satisfied that Capita has taken measures to mitigate risks across the four key remaining transition areas since I last updated you: payroll, security, testing and disaster recovery.”
“Whilst I am satisfied that the most significant of transition risks have been adequately addressed, I am alive to the risks that inherently remain in transitioning a service of this scale and complexity.”
“Capita plans to further increase the overall staffing levels, recruiting an additional 196 people to support operations from day one.”
Source · parliament.uk record ↗