Civil Service Pension Scheme

Baroness Finn Excerpts

Tuesday 30th June 2026 Lords Chamber

[Baroness Anderson of Stoke-on-Trent (Lab)]

My noble friend raises a very important issue. While there are contractual issues at play, the reality is that behind each and every one of the statistics that we will undoubtedly discuss today there is an individual and a family who are struggling. We have heard many harrowing and heartbreaking stories. We previously set out two recovery targets, including an end-of-June milestone by which we expected a return to standard, contractually required levels. The end of June deadline has now arrived, and Capita has completely failed to meet this milestone for all services, as well as missing its initial April target. Since its explicit personal assurances have not been met and core outputs are deficient, we are deploying a unified package of escalating measures, including independent technical audits and an on-the-ground remedial adviser to hold it ruthlessly to account. I look forward to discussing the detail of this after my right honourable friend the Paymaster-General has made a Statement to Members of the other place in the coming days.

[Baroness Finn (Con)]

My Lords, Capita’s failures are unacceptable, but this also raises serious questions about the Cabinet Office’s own contract management. Given the warnings before handover, what further interventions are Ministers prepared to make if service levels are not restored? What lessons have been learned to ensure that this saga is not repeated, and will the Minister commit to including the actions taken as a result of those lessons learned in the update in the coming days?

[Baroness Anderson of Stoke-on-Trent (Lab)]

My Lords, I gently remind the noble Baroness that this contract and its details were signed by the previous Government. We are now trying to fix, and seek assurances for, a contract that has failed many people.

On the detail and the actions of the Cabinet Office, we have established a pension recovery task force led by Angela MacDonald, the Second Permanent Secretary at HMRC. There are 140 surge staff, the costs of which Capita confirmed in a letter to the Cabinet Office in April it will be funding. Capita has surged its number of support staff as well; 500 people are working on the contract, which is a 50% per cent increase on the previous contract. Clearly, however, too many individuals are waiting.

Regarding the details that the noble Baroness has requested, obviously a Statement is coming. If they are not included in that, I know she will make sure that I write to her with the details as and when we get to that point.