Thousands of retired civil servants face late or missing pensions – here’s why

Business & Finance
14 Sep 2026 • 9:59 PM MYT
The Independent
The Independent

The world’s most free-thinking newspaper

Thousands of retired civil servants face late or missing pensions – here’s why

  • Outsourcing firm Capita is facing intense scrutiny over severe delays and backlogs in administering the civil service pension scheme, which serves 1.7 million members.
  • The Cabinet Office has deployed a taskforce of over 140 staff and introduced interest-free emergency loans of up to £20,000 for affected individuals, with all costs to be recovered from Capita.
  • The government has withheld £9.9 million in payments to Capita, which also had its contract for the Royal Mail statutory pension scheme terminated earlier this year for failing to meet key milestones.
  • Thousands of civil servants, retirees, and bereaved families remain impacted by missing payments and unissued quotes, prompting many staff to delay their retirements due to stress and financial anxiety.
  • Capita has apologised for the ongoing service issues and announced it completed its first remediation milestone on 1 September, as it continues work to clear outstanding high-priority cases.

IN FULL

Newswav Malaysia Best News App

Newswav is an online content aggregator and obtains its content from different online sources. The content in the app do not belong to Newswav nor do they reflect the opinions of Newswav and its staff. Your use of this app indicates your understanding and acceptance of this information.

Newswav Sdn. Bhd. (201701008480 (1222645-M)) 2026 All Rights Reserved