The National Audit Office (NAO) is investigating the handover of Civil Service Pension Scheme administration from MyCSP to Capita and the service members have received since. The review will examine whether the transition was ready, how service problems affected members and how the Cabinet Office oversaw the contract. It is not an investigation of individual pension calculations, and it has not yet reported its findings.
Why is Capita delaying Civil Service pensions?
Capita took over administration of the Civil Service Pension Scheme from MyCSP on 1 December 2025 under a seven-year contract worth £239 million, according to the NAO’s investigation notice. The NAO says the transfer had a two-year transition period, but service levels were repeatedly missed after the handover. Members struggled to obtain information needed to plan retirement, and some people due to retire had to change plans after payments did not arrive on time.
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At a Public Accounts Committee hearing on 26 March 2026, Capita Managing Director Chris Clements said the company inherited 89,000 cases on 1 December, including 13,000 that had been waiting for more than a year. He also said Capita received 25,000 calls in its first week, compared with an expected 7,000 or 8,000. Those figures are statements by Capita’s witness to the committee, not independent findings by the NAO. Read the committee evidence.
What is the NAO investigating?
The watchdog says it will examine three connected areas: whether the scheme was ready to go live, the quality of service and members’ experience since the transfer, and the Cabinet Office’s oversight before and after Capita took over. The investigation is in progress; the NAO’s notice sets out its scope and background, not its conclusions. NAO investigation notice.
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- Transition readiness: how the handover was prepared and whether arrangements were adequate for the 1 December 2025 change.
- Service and member impact: how administration has performed since go-live, including delays and the effect on people trying to make retirement plans or receive payments.
- Government oversight: how the Cabinet Office managed and monitored the contract before and after the transfer.
The NAO says it will not examine individual pension calculations. Its review therefore cannot determine whether a particular person has been paid the right amount, resolve an individual case or establish someone’s personal entitlement.
What have the government and Capita said?
The Cabinet Office’s assessment
In a written statement to Parliament on 9 September 2026, Parliamentary Secretary Sally Jameson said Capita had failed to meet its commitment to restore the scheme fully to contractual service levels by the end of June. Capita subsequently set targets to clear workable stock cases in five priority areas by 1 September and process cases within key performance indicators from 30 September. The Cabinet Office said Capita reported meeting the 1 September target for workable stock in those areas, but stressed that this did not mean full service recovery. The government said overall performance remained unacceptable and that it continued to hold Capita to account. Read Jameson’s written statement.
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“Overall performance remains unacceptable, and far too many scheme members continue to face uncertainty while waiting for their cases to be resolved.”
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That was Jameson’s statement on 9 September 2026. The distinction matters: meeting a target for workable cases in five priority areas was not the same as restoring the scheme as a whole to contractual service levels.
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Capita’s response
In a statement dated 2 October 2026, Capita said it would cooperate with the NAO, the Cabinet Office and other stakeholders. The company described operational progress in August and September and said it was introducing more automation and stronger governance. It also acknowledged that service remained below the standards expected by scheme members and the government. These are Capita’s claims and assessment, not findings from the NAO investigation. Read Capita’s statement.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.“Capita accepts that performance remains below the standards that scheme members and the Government rightly expect.”
What help is available if a Civil Service Pension Scheme payment is delayed?
For a delayed payment, missing information or another personal concern, contact the pension administrator handling your case. The NAO review concerns administration and oversight across the scheme; it does not calculate individual benefits or decide a member’s case. The sources available for this article do not establish an individual’s entitlement or the outcome of a particular claim.
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The NAO says transitional support loans totalling £22.1 million had been paid to more than 3,900 members by August 2026. This is a reported support figure up to that date, not a statement about an individual’s eligibility or a continuing payment allowance. NAO figures on transitional support.
Why does this matter to so many people?
The NAO’s June 2025 report said the Civil Service Pension Scheme had 1.7 million current and former members and £189 billion in future pension liabilities as of 31 March 2024. These are figures tied to that reporting date, not a 2026 membership count. The report also recorded 4,780 complaints in 2024–25. Read the NAO’s 2025 report page.
The scale helps explain why administration failures can have wide consequences, but it does not establish how any one member’s case has been handled. The NAO’s figures describe the scheme and complaints recorded in the stated periods.
What happens next?
The NAO has opened an investigation and will report on the matters within its stated scope. Until it publishes findings, claims about what caused the problems, whether the handover was adequately managed, and how effectively the contract was overseen remain questions for the review rather than settled conclusions. Performance and support figures may also change after the dates cited here.
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