Capita renews contract to administer Royal Mail statutory pension
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13:59 04/07/24
Capita announced the renewal of its contract with the Cabinet Office to administer the Royal Mail Statutory Pension Scheme (RMSPS) on Tuesday, for an additional six years from 2026.
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The London-listed outsourcing specialist said the contract included an option to extend for a further two years, following a competitive selection process.
It said the deal was valued at £48m over the potential eight-year period.
Capita, which has been administering the RMSPS since 2017, would continue to serve over 350,000 scheme members.
The renewed contract would see Capita migrate its service delivery to a single platform, using Microsoft Dynamics and other digital capabilities integrated into its Hartlink solution.
It said the services provided included finance, accounting, and taxation administration, pension payroll, reporting, and data analysis and management.
“This renewed contract reflects not only our long-standing and established strategic partnership with the Cabinet Office, but also the quality of the service we provide to members,” said chief executive officer Adolfo Hernandez.
“We are exceptionally proud to continue to deliver this vital work.”
At 1009 BST, shares in Capita were down 0.14% at 13.18p.
Reporting by Josh White for Sharecast.com.