news-uk

Union Criticizes Civil Service Pension Scheme for Late Payment Oversight

The Prospect union has expressed frustration over the government’s apparent lack of awareness regarding the number of individuals impacted by delays in pension payments under the Civil Service Pension Scheme. Following remarks by a Cabinet Office minister, the union raised alarms about a potential backlog affecting thousands of members awaiting their retirement quotations and pension payments.

Union Raises Concerns Over Delayed Pension Payments

Members of the Civil Service Pension Scheme have reportedly faced significant delays in both monthly payments and lump sums. Many beneficiaries have experienced financial distress, resorting to borrowing money or applying for Universal Credit to manage their finances. This troubling situation has arisen after the pension scheme transitioned from MyCSP to Capita last month, reminiscent of similar issues seen during the previous transition in 2014.

Government Acknowledgment and Response

On January 13, MP Andrew Snowden questioned the Cabinet Office about the number of affected members. In a recent response, Cabinet Office minister Anna Turley acknowledged the challenges but indicated that Capita has not provided specific data. She mentioned that the administration transferred to Capita on December 1, 2025, and the first payroll was executed successful that month.

Turley emphasized the government’s commitment to resolving these issues, stating that additional support and staffing at Capita have been initiated, with personnel levels increased by approximately 50% from the previous provider. She affirmed that urgent cases are being prioritized to stabilize the service quickly.

Union’s Demands for Immediate Action

Steve Thomas, Deputy General Secretary of Prospect, has characterized the circumstances as a “real scandal.” He urged for immediate action to address the delays, suggesting that automatic compensation should be issued to those affected. Thomas noted that many individuals at the end of their careers are struggling to meet mortgage obligations amid growing uncertainty.

Capita’s Assurance and Union Criticism

The Cabinet Office has stated that it is aware of the ongoing issues faced by members and is urging Capita to act swiftly to rectify them. A Capita representative claimed that the company is addressing a backlog that is over double what was anticipated at the time of the contract transfer. Currently, Capita has deployed over 500 full-time employees to manage the Civil Service Pension Scheme, significantly increasing workforce capacity.

Despite Capita’s assurances, groups such as the Prison Officers’ Association (POA) are also voicing concerns. They highlight unacceptable delays and demand a clear strategy for clearing the backlog and prioritizing vulnerable cases, such as those experiencing financial hardship or nearing retirement.

Calls for Compensation and Legal Recourse

Both Prospect and the POA are advocating for a compensation scheme for members disadvantaged by prolonged payment delays. The POA has advised its members to escalate their concerns to local MPs to ensure their issues are addressed. It is crucial that the Cabinet Office promptly communicates a timeline for resolving these delays and restoring normalcy in pension payments.

Conclusion

The civil service pension scheme’s recent transitions have highlighted serious administrative challenges that need urgent attention. As members face delays in receiving their rightful pension benefits, unions are rallying for effective measures and compensation, as well as transparent communication from all parties involved.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button