EXCLUSIVE: A senior MSP has written to the DWP to demand answers on when a massive backlog of complaints will be finally cleared.
17:00, 21 Feb 2026
Some retired civil servants are missing their pension payments(Image: Halfpoint Images via Getty Images)
Retired civil servants in Scotland face “considerable financial distress” as a result of on-going issues which have left thousands without pension payments.
A senior MSP has written to the Department of Work and Pensions (DWP) to demand answers on when a massive backlog of complaints will finally be cleared.
Keith Brown, the SNP depute leader, warned the disruption “has caused considerable financial distress, including difficulties meeting mortgage payments, rent, and essential household bills”.
Outsourcing giant Capita took over the administration of the Civil Service Pension Scheme in December last year. Bosses have since claimed they inherited a backlog of 86,000 cases and more than 15,000 unread emails – but this had now expanded to 120,000 cases.
The UK Government has been forced to launch a scheme offering retired civil servants interest-free loans of up to £10,000 to help those left with no income.
In a letter to UK Pensions Minister Torsten Bell, Brown said: “I have been contacted by a large number of constituents who are former civil servants reporting significant delays in receiving their pension payments, lump sums, or survivor benefits. For many, these pensions represent their primary source of income.
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“The disruption has therefore caused considerable financial distress, including difficulties meeting mortgage payments, rent, and essential household bills.
“While I note the UK government’s introduction of hardship loans to support those affected, I am concerned that requiring pensioners to take on repayable loans in order to access income to which they are already entitled is an inadequate solution. It is deeply troubling that individuals who have served in public roles for decades are left in this position.”
Brown added: “Given the number of civil servants living in Scotland, this issue has direct consequences for many Scottish households. I would welcome confirmation of what additional communication and support is being provided specifically to those affected, including clear timelines for resolution.”
Hazel Cranstoun, from the Isle of Arran, worked for the Cabinet Office and left the civil service in 2011.
She now runs the village shop in Pirnmill and was counting on her civil service pension to clear debts.
Hazel told the BBC: “I missed my mortgage payment on January 20 and other payments too. I’m terrified about impact on my credit rating which is important. I’m determined to keep the shop open, it’s an important part of the community.
“I called to arrange an emergency loan, and was told to approach Capita as I’d been out of service longer than 12 months. When I called Capita, they said I should contact the DWP, and that Capita only deal with certain cases.
“I’ve got no savings and my credit cards are all maxed out from keeping the business afloat. I planned carefully that the pension would clear this debt.”
Chris Clements, managing director at Capita Public Services, told MPs last week that calls about bereavement and hardship were being answered quickly – but others faced “unacceptable” waits.
He said some payments would be made to the most serious cases by the end of February, and they would receive a normal service by the end of March.
The Record asked the DWP for comment.
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