Capita set to miss legal deadline on 93,000 civil servants' pension fixes, claims union
PCS says outsourcer still stuck in design phase while retirees wait for McCloud corrections
Capita, the outsourcing company that took over the Civil Service Pension Scheme (CSPS) in December 2025, is on track to miss a critical legal deadline for rectifying 93,000 pension cases. The UK's largest civil service union, PCS, reported that the Cabinet Office confirmed the delay would impact cases stemming from the McCloud judgment.
This landmark ruling demanded the government review and correct pension benefits for affected individuals, particularly younger members who claimed discriminatory changes in public service pension schemes. Of the 93,000 cases, around 73,000 pertain to retired or deceased members, while 20,000 belong to deferred members. The original deadline to complete these corrections was March 2025, but it was extended to March 31, 2027, in January 2026.
PCS general secretary Fran Heathcote expressed frustration, stating that members have not received reliable updates about when their pensions will be corrected, and the government must take action. Capita's contract, awarded in November 2023 for £239 million, was supposed to include the resolution of these McCloud remedy cases, but the government funds this task separately through a £45 million project, Remedy Project 7.
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