Early Day Motion 416

Civil Service Pension Scheme

Tabled 22 June 2026 by John McDonnell

Tax

That this House notes that thousands of retired civil servants are facing financial hardship and distress, after pensions and lump sum payments failed to arrive on time; believes these delays have been deeply distressing for the individuals and families affected and that they should be compensated in recognition of this; acknowledges that Capita has overseen systematic failures, resulting in Ministers sending in a team of 150 civil servants to address the backlog at considerable cost to the taxpayer; further believes that pensioners are waiting more than nine months for money they are legally entitled to receive, that Capita failed to meet an end of April deadline to clear inherited pension arrears; further notes that all indications suggest that the end of June 2026 deadline to restore pension functions back to standard contractual levels will not be met, meaning that the extensive recovery operation will be extended beyond this date; is alarmed that instead of being punished for its failure, Capita looks set to be awarded a £370 million contract to deliver HR and payroll for 4 government departments, putting the pay of 250,000 staff at risk; supports the demand of the PCS union that this work should be run by the civil service under ministerial control, so that it can be properly resourced and pensions paid on time; and calls on the Government to fulfil its promise of the biggest wave of insourcing of public services in a generation.

Signatories (26)