Question to the Cabinet Office:

To ask the Minister for the Cabinet Office, what estimate he has made of the number of cases in which retired civil servants have been ordered to repay pension benefits due to administrative errors made by civil service pension providers; and what assessment he has made of the potential impact of those cases on those retired civil servants.

The administration of the Civil Service Pension Scheme is the responsibility of the Cabinet Office. However, the government has a duty to recover overpaid public money to ensure the scheme remains fair and sustainable for all taxpayers.

The Civil Service Pension Scheme pays out 732,000 pensions per month, and processes in excess of 1,000,000 member transactions each month. There have been, on average, 40 cases a year where human or administrative error led to a member being overpaid since 2014. While many overpayments in the scheme occur due to the late notification of a member's death, these specific cases do not relate to processing mistakes. Under current contracts, if the scheme cannot recover these funds from the member, it seeks recovery from the pension administrator.

We recognise that being asked to repay funds can be stressful. To manage the impact on retired civil servants, the scheme administrator works individually with those affected to create manageable recovery plans. These plans focus on the member's specific ability to pay, often spreading repayments over a long period to ensure that no undue financial hardship is caused.