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6 May 2026

Petition prompts government response on Capita pension failures investigation

The Government have responded to a petition calling for an investigation into the failures in the administration of Civil Service Pensions, stating they are clear that Capita must restore pension service levels by end of June 2026, and that they are using all commercial levers, including withholding payments, to hold them to account for failures.

Regarding the request for a formal Parliamentary investigation, the Government maintains that Parliament is already rigorously investigating these matters through established select committees. 

The Government is executing a robust recovery plan and has set a hard deadline for Capita to restore service levels to the standard contractually required by the end of June 2026. This recovery includes clearing the backlog of all outstanding pension quotes. To ensure compliance, we are using every commercial lever at our disposal, which includes withholding transition and milestone payments where deliverables have not been achieved.

The Government has already demonstrated that it will not tolerate continued failure; we recently terminated Capita’s contract for the Royal Mail Statutory Pension Scheme following failure to meet the necessary performance standards.

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