Civil Service Pensions Debate

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Department: Cabinet Office

Civil Service Pensions

Geoffrey Clifton-Brown Excerpts
Monday 26th October 2026

(3 days, 5 hours ago)

Commons Chamber
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Lindsay Hoyle Portrait Mr Speaker
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I call the Chair of the Public Accounts Committee.

Geoffrey Clifton-Brown Portrait Sir Geoffrey Clifton-Brown (North Cotswolds) (Con)
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I thank the Minister for her statement, but the situation is worse than she has outlined. We have had four PAC inquiries into Capita’s administration scheme this year, and it has missed virtually every single one of the deadlines that it set out in each of those hearings.

The latest revelation I have discovered is that if Capita does not pay out the lump-sum payment due to bereaved relatives within two years, those relatives will have to pay tax at the highest rate. I wrote to the Minister about that issue; she very kindly replied and had a meeting with me, and she told me that there were not likely to be more than 10 such cases. I find that improbable, given that the scheme has 1.7 million members. Indeed, The Guardian has published an article saying that 1,600 members have been waiting for over 100 days, so it is likely that many of these people will get up to the two-year deadline. Can she guarantee to the House today that she will either enforce Capita paying compensation for any lost money, or change the law so that none of the people in that very vulnerable position, waiting for their payment, will be worrying about whether they will pay tax?

Sally Jameson Portrait Sally Jameson
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I thank the hon. Member for meeting me last week to discuss this really important issue. The relatively small figure of around 10 that I gave to him is in relation to a very specific category of families who are at or beyond the 18-month point. Cabinet Office officials are working to ensure that they are dealt with as quickly as possible, but if it ends up looking like the rectification plan is not going fast enough and more people will fall into scope, I will of course take further action. I have also liaised with His Majesty’s Treasury on this issue.