Asked by: Euan Stainbank (Labour - Falkirk)
Question to the Cabinet Office:
To ask the Minister for the Cabinet Office, what assessment her Department has made of the adequacy of Capita's compliance with National Minimum Wage requirements when awarding it contracts.
Answered by Sally Jameson - Parliamentary Secretary and Parliamentary Under-Secretary of State (Cabinet Office) (Jointly with the Ministry for Housing, Communities and Local Government)
Public Procurement Regulations require compliance with statutory National Minimum Wage standards to be evaluated during tender assessments. Bids that fail to demonstrate compliance are rejected.
Capita warrants in existing contracts let under Public Contracts Regulations 2015, that its execution, delivery and performance of its obligations will not constitute a breach of any law or obligation applicable to it and will not cause or result in a default under any agreement by which it is bound. For future contracts the Procurement Act 2023 requires all suppliers bidding for Cabinet Office contracts to comply fully with applicable UK employment legislation.
There is robust contract management undertaken on the contracts in line with Cabinet Office policy and part of this management includes obligation management on Capita. Obligation management forms part of a regime of post-award compliance monitoring and ongoing management.
Asked by: Euan Stainbank (Labour - Falkirk)
Question to the Cabinet Office:
To ask the Minister for the Cabinet Office, what recent progress has been made by Capita in processing payments to those affected by the McCloud judgment.
Answered by Sally Jameson - Parliamentary Secretary and Parliamentary Under-Secretary of State (Cabinet Office) (Jointly with the Ministry for Housing, Communities and Local Government)
The pension scheme has 1.7m members with approx 420k members affected by Remedy. Capita, having assumed responsibility for the Civil Service Pension Scheme in December 2025, is responsible for delivering the remaining 2015 Remedy work. The cases remaining to be processed are generally the most complex, involving intricate service histories, multiple retirements, or complex benefit structures.
All active and deferred Remedy-affected members receive this choice at retirement. The McCloud remedy work is a bespoke and one-off piece of work that is not an ongoing part of the services for members who have not yet retired. As part of the Remedy work, members, who had service during the remedy period, who retired and claimed benefits before 1st October 2023, receive an immediate choice remedial savings statement (RSS). The RSS confirms their options and asks them to confirm their choice of benefits between their legacy scheme and alpha for the remedy period. To date, 58,411 RSS’s have been distributed and 42,516 immediate choice elections have been implemented. The outstanding circa 73k retired members and c.24k deferred members are part of the final and most complex group requiring rectification work, and as such this will take some time to complete.
The Cabinet Office has now received Capita's Remedy Delivery plan for completion of the outstanding work. We are currently reviewing, challenging and assuring the Full Business Case and cost profile. The Civil Service Pensions Scheme website will be updated as this work progresses.
The specific financial values of commercial transactions remain commercially confidential in relation to Capita and I am unable to disclose the figures. The primary objective of the initial Discovery Phase was to comprehensively define and evaluate the total scope of outstanding work transitioned from the legacy administrator. Furthermore, the phase was designed to enable the supplier to formulate detailed technical designs, establish robust operational delivery plans, and construct accurate cost and resource estimates essential for the successful execution of the subsequent implementation phases.
It is important to note that all impacted members in receipt of a pension are already receiving benefits and that the remedy is a potential adjustment, depending on the member’s choice, to benefits already in payment. As such the alternative scheme benefits does not automatically provide a member with a higher pension and lump sum. Where it does and the member makes an alternative scheme election, the difference between what has been paid and what is due, will be backdated to the original payment date and paid to the member inclusive of interest.
Asked by: Euan Stainbank (Labour - Falkirk)
Question to the Cabinet Office:
To ask the Minister for the Cabinet Office, what estimate her Department has made of the value of Capita's Civil Service Pension Scheme administration contract attributable to processing McCloud judgment remedy payments.
Answered by Sally Jameson - Parliamentary Secretary and Parliamentary Under-Secretary of State (Cabinet Office) (Jointly with the Ministry for Housing, Communities and Local Government)
The pension scheme has 1.7m members with approx 420k members affected by Remedy. Capita, having assumed responsibility for the Civil Service Pension Scheme in December 2025, is responsible for delivering the remaining 2015 Remedy work. The cases remaining to be processed are generally the most complex, involving intricate service histories, multiple retirements, or complex benefit structures.
All active and deferred Remedy-affected members receive this choice at retirement. The McCloud remedy work is a bespoke and one-off piece of work that is not an ongoing part of the services for members who have not yet retired. As part of the Remedy work, members, who had service during the remedy period, who retired and claimed benefits before 1st October 2023, receive an immediate choice remedial savings statement (RSS). The RSS confirms their options and asks them to confirm their choice of benefits between their legacy scheme and alpha for the remedy period. To date, 58,411 RSS’s have been distributed and 42,516 immediate choice elections have been implemented. The outstanding circa 73k retired members and c.24k deferred members are part of the final and most complex group requiring rectification work, and as such this will take some time to complete.
The Cabinet Office has now received Capita's Remedy Delivery plan for completion of the outstanding work. We are currently reviewing, challenging and assuring the Full Business Case and cost profile. The Civil Service Pensions Scheme website will be updated as this work progresses.
The specific financial values of commercial transactions remain commercially confidential in relation to Capita and I am unable to disclose the figures. The primary objective of the initial Discovery Phase was to comprehensively define and evaluate the total scope of outstanding work transitioned from the legacy administrator. Furthermore, the phase was designed to enable the supplier to formulate detailed technical designs, establish robust operational delivery plans, and construct accurate cost and resource estimates essential for the successful execution of the subsequent implementation phases.
It is important to note that all impacted members in receipt of a pension are already receiving benefits and that the remedy is a potential adjustment, depending on the member’s choice, to benefits already in payment. As such the alternative scheme benefits does not automatically provide a member with a higher pension and lump sum. Where it does and the member makes an alternative scheme election, the difference between what has been paid and what is due, will be backdated to the original payment date and paid to the member inclusive of interest.
Asked by: Euan Stainbank (Labour - Falkirk)
Question to the Cabinet Office:
To ask the Minister for the Cabinet Office, how much has been paid to Capita to date in respect of progressing payments to those affected by the McCloud judgment.
Answered by Sally Jameson - Parliamentary Secretary and Parliamentary Under-Secretary of State (Cabinet Office) (Jointly with the Ministry for Housing, Communities and Local Government)
The pension scheme has 1.7m members with approx 420k members affected by Remedy. Capita, having assumed responsibility for the Civil Service Pension Scheme in December 2025, is responsible for delivering the remaining 2015 Remedy work. The cases remaining to be processed are generally the most complex, involving intricate service histories, multiple retirements, or complex benefit structures.
All active and deferred Remedy-affected members receive this choice at retirement. The McCloud remedy work is a bespoke and one-off piece of work that is not an ongoing part of the services for members who have not yet retired. As part of the Remedy work, members, who had service during the remedy period, who retired and claimed benefits before 1st October 2023, receive an immediate choice remedial savings statement (RSS). The RSS confirms their options and asks them to confirm their choice of benefits between their legacy scheme and alpha for the remedy period. To date, 58,411 RSS’s have been distributed and 42,516 immediate choice elections have been implemented. The outstanding circa 73k retired members and c.24k deferred members are part of the final and most complex group requiring rectification work, and as such this will take some time to complete.
The Cabinet Office has now received Capita's Remedy Delivery plan for completion of the outstanding work. We are currently reviewing, challenging and assuring the Full Business Case and cost profile. The Civil Service Pensions Scheme website will be updated as this work progresses.
The specific financial values of commercial transactions remain commercially confidential in relation to Capita and I am unable to disclose the figures. The primary objective of the initial Discovery Phase was to comprehensively define and evaluate the total scope of outstanding work transitioned from the legacy administrator. Furthermore, the phase was designed to enable the supplier to formulate detailed technical designs, establish robust operational delivery plans, and construct accurate cost and resource estimates essential for the successful execution of the subsequent implementation phases.
It is important to note that all impacted members in receipt of a pension are already receiving benefits and that the remedy is a potential adjustment, depending on the member’s choice, to benefits already in payment. As such the alternative scheme benefits does not automatically provide a member with a higher pension and lump sum. Where it does and the member makes an alternative scheme election, the difference between what has been paid and what is due, will be backdated to the original payment date and paid to the member inclusive of interest.
Asked by: Euan Stainbank (Labour - Falkirk)
Question to the Cabinet Office:
To ask the Minister for the Cabinet Office, if he will make an assessment of the potential merits of insourcing the Civil Service Pension Scheme administration.
Answered by Satvir Kaur - Parliamentary Under-Secretary (Home Office)
The Cabinet Office awarded the contract to administer the Civil Service Pension Scheme to Capita in November 2023 under the previous government.
The issues and delays facing a number of civil servants and pension scheme members in receiving their pension quotes are unacceptable. I want to reassure you that this Government has taken firm action to help put things right as soon as possible. We have agreed a clear recovery plan with Capita, which includes specific milestones and accountability targets for delivery. For priority cases, we have deployed additional resources and improved communication with affected colleagues, so that staff, both former and serving, receive the quality of service and support they deserve.
Existing Key Performance Indicators (KPIs) have been enhanced and strengthened to deliver improved performance and higher penalties for failure, including financial penalties. These have already applied in respect to Capita's performance with recent issues and delays in administering the Civil Service Pension Scheme.
Capita prioritised the most urgent cases and by the end of February, all death in service cases were either settled or progressed to the final stage or awaiting a member response. The same position was reached for ill health retirement applications by mid-March.
Capita has made lump sum payments to 8,747 members, the majority of whom have retired but are not yet receiving their pension, and are on track to bring these members into regular pension payments by the end of April.
To provide immediate financial support to those who may need it, arrangements are in place for interest-free bridging loans typically up to £5,000 or £10,000 in exceptional cases to most recent retirees facing payment delays. This is alongside interim lump sum payments being made to provide immediate funds to retiring members. The pension scheme continues to make monthly pension payments to approximately 730,000 existing pensioner members on time
While the current focus remains on stabilising the service through the intensive recovery plan, the Cabinet Office considers all options for future contracts, including in-house administration. Any future procurement exercise will continue to use all commercial levers and be conducted in accordance with the requirements of the Procurement Act 2023.
The Cabinet Office will continue to use all available commercial levers to hold Capita to account and ensure they deliver the contractual service levels.
The latest position of the Civil Service Pension Recovery Plan Update is available at this weblink: https://www.gov.uk/government/publications/civil-service-pension-recovery-plan-updates
Asked by: Euan Stainbank (Labour - Falkirk)
Question to the Cabinet Office:
To ask the Minister for the Cabinet Office, what assessment he has made of the adequacy of Capita's compliance with their contract to administer the Civil Service Pension Scheme.
Answered by Satvir Kaur - Parliamentary Under-Secretary (Home Office)
The Cabinet Office awarded the contract to administer the Civil Service Pension Scheme to Capita in November 2023 under the previous government.
The issues and delays facing a number of civil servants and pension scheme members in receiving their pension quotes are unacceptable. I want to reassure you that this Government has taken firm action to help put things right as soon as possible. We have agreed a clear recovery plan with Capita, which includes specific milestones and accountability targets for delivery. For priority cases, we have deployed additional resources and improved communication with affected colleagues, so that staff, both former and serving, receive the quality of service and support they deserve.
Existing Key Performance Indicators (KPIs) have been enhanced and strengthened to deliver improved performance and higher penalties for failure, including financial penalties. These have already applied in respect to Capita's performance with recent issues and delays in administering the Civil Service Pension Scheme.
Capita prioritised the most urgent cases and by the end of February, all death in service cases were either settled or progressed to the final stage or awaiting a member response. The same position was reached for ill health retirement applications by mid-March.
Capita has made lump sum payments to 8,747 members, the majority of whom have retired but are not yet receiving their pension, and are on track to bring these members into regular pension payments by the end of April.
To provide immediate financial support to those who may need it, arrangements are in place for interest-free bridging loans typically up to £5,000 or £10,000 in exceptional cases to most recent retirees facing payment delays. This is alongside interim lump sum payments being made to provide immediate funds to retiring members. The pension scheme continues to make monthly pension payments to approximately 730,000 existing pensioner members on time
While the current focus remains on stabilising the service through the intensive recovery plan, the Cabinet Office considers all options for future contracts, including in-house administration. Any future procurement exercise will continue to use all commercial levers and be conducted in accordance with the requirements of the Procurement Act 2023.
The Cabinet Office will continue to use all available commercial levers to hold Capita to account and ensure they deliver the contractual service levels.
The latest position of the Civil Service Pension Recovery Plan Update is available at this weblink: https://www.gov.uk/government/publications/civil-service-pension-recovery-plan-updates
Asked by: Euan Stainbank (Labour - Falkirk)
Question to the Cabinet Office:
To ask the Minister for the Cabinet Office, if he will make an assessment with the Secretary of State for Transport of the potential impact of providing public subsidies to non-UK bus manufacturers on national security.
Answered by Dan Jarvis - Minister of State (Home Office) (Security) (Jointly with the Cabinet Office)
It has not proved possible to respond to the Rt Hon Member in the timeavailable before Prorogation
Asked by: Euan Stainbank (Labour - Falkirk)
Question to the Cabinet Office:
To ask the Minister for the Cabinet Office, with reference to 'Public Procurement: Growing British industry, jobs and skills Government response to consultation' on the 26th of March 2026, what assessment he has made of the potential merits of recognising bus manufacturing as an industry critical for National Security.
Answered by Chris Ward
The package I announced commits the government to publishing new guidance for departments on the appropriate use of the national security exemption in the Procurement Act 2023 when procuring from the AI, steel, shipbuilding and energy infrastructure sectors.
These four pathfinder sectors were selected based on their status as critical industries where disruptions in international markets have exposed vulnerabilities that threaten national interests and overall stability. We are initially focussing on these sectors because we believe that sovereign supply chain resilience is a critical factor in supporting national security.
I want to reassure that while bus manufacturing is not one of the sectors initially envisaged for the national security guidance, the wider package of procurement measures can benefit this sector, including, where relevant, changes to social value and its focus on jobs and communities. You will also be aware that Mayoral Transport Authorities have agreed to a minimum of 10% social value weighting in all future bus procurement tenders and a social value procurement working group has been set up to work with Mayoral Transport Authorities to share best practices on social value.
I am also in discussion with the department for transport on what further steps we can take to support British bus manufacturers.
Asked by: Euan Stainbank (Labour - Falkirk)
Question to the Cabinet Office:
To ask the Minister for the Cabinet Office, whether his Department is taking steps towards a compensation scheme for delays to first pension payments and lump sums caused by the transition between MyCSP to Capita of the Civil Service Pension Scheme.
Answered by Satvir Kaur - Parliamentary Under-Secretary (Home Office)
The Cabinet Office awarded the contract to administer the Civil Service Pension Scheme to Capita in November 2023 under the previous government.
The issues and delays facing a number of civil servants and pension scheme members in receiving their pension quotes are unacceptable. I want to reassure you that this Government has taken firm action to help put things right as soon as possible. We have agreed a clear recovery plan with Capita, which includes specific milestones and accountability targets for delivery. For priority cases, we have deployed additional resources and improved communication with affected colleagues, so that staff, both former and serving, receive the quality of service and support they deserve.
Existing Key Performance Indicators (KPIs) have been enhanced and strengthened to deliver improved performance and higher penalties for failure, including financial penalties. These have already applied in respect to Capita's performance with recent issues and delays in administering the Civil Service Pension Scheme.
Capita prioritised the most urgent cases and by the end of February, all death in service cases were either settled or progressed to the final stage or awaiting a member response. The same position was reached for ill health retirement applications by mid-March.
Capita has made lump sum payments to 8,747 members, the majority of whom have retired but are not yet receiving their pension, and are on track to bring these members into regular pension payments by the end of April.
To provide immediate financial support to those who may need it, arrangements are in place for interest-free bridging loans typically up to £5,000 or £10,000 in exceptional cases to most recent retirees facing payment delays. This is alongside interim lump sum payments being made to provide immediate funds to retiring members. The pension scheme continues to make monthly pension payments to approximately 730,000 existing pensioner members on time.
Interest will be paid on delayed benefits to avoid financial loss by members. In addition, the existing statutory complaints process evaluates claims for financial losses, as well as distress and inconvenience caused, on a case-by-case basis to determine whether compensation is due. This ensures that any retiree who provides evidence of extra costs, such as bank penalties or interest charges caused by the delay, is fairly assessed. This process is run in accordance with the standards set by the Pensions Ombudsman.
The latest position of the Civil Service Pension Recovery Plan Update is available at this weblink: https://www.gov.uk/government/publications/civil-service-pension-recovery-plan-updates
Asked by: Euan Stainbank (Labour - Falkirk)
Question to the Cabinet Office:
To ask the Minister for the Cabinet Office, what consideration is given to disqualifying companies fined for non compliance for paying the national minimum wage when awarding Government contracts.
Answered by Chris Ward
Non compliance with paying the national minimum wage is unacceptable and has no place in government contracts or in wider society.
The Procurement Act 2023 provides contracting authorities with strong powers to exclude suppliers from public procurements where an exclusion ground applies, including where they have breached existing labour laws.
Where the circumstances that cause an exclusion ground to apply are continuing or likely to reoccur, contracting authorities must exclude suppliers subject to mandatory exclusion grounds.
Such grounds could include where a supplier is convicted of the offences of refusing or wilfully neglecting to pay the national minimum wage, or of failing to comply with a labour market enforcement order (which can relate to offences under the National Minimum Wage Act 1998). Where a discretionary exclusion ground applies, such as if a labour market enforcement order is made against the supplier, contracting authorities can choose whether to exclude them.
The Debarment Review Service can also carry out investigations in accordance with the Act to establish whether a supplier can be added to the debarment list.