Capita secures £239m contract with the Cabinet Office

Professional services company Capita said on Monday that it has been selected by the Cabinet Office to manage the Civil Service Pension Scheme.

Capita will manage the pension scheme, one of the UK's largest public sector schemes, from September 2025 in a deal worth £239.0m over a decade.

Under the new contract, Capita will modernise pensions administration systems and integrate generative artificial intelligence technology.

The London-listed group said the contract builds on its "strong track record" of successful delivery as a strategic supplier to UK Government, as well as its "depth of experience" operating in the regulated pensions market.

Chief executive Jon Lewis said: "This award is testament to the commitment of our colleagues to design innovative solutions and deliver exceptional customer experience."

As of 0915 GMT, Capita shares were up 2.56% at 18.81p.

Reporting by Iain Gilbert at Sharecast.com