Find a TenderAwarded without competition
Published 27 Jan 2021, 22:56 GMT

Official UK procurement notice

Administration of the Civil Service Pensions Schemes

Official notice

Authority: The Minister for the Cabinet Office acting through Crown Commercial Service (Central government)

ServicesAward procedure without prior publication of a call for competition
Awarded value£44,762,364published contract · exc. VAT
Awarded 20 Jan 2021no call for competition
Awarded to MYCSP LIMITED

What is being bought

Published requirement description

The administration of civil service pensions for more than 1.5 million past and present civil servants and more than 250 employers; the provision of pension payroll and injury benefit services; and services in connection with the Civil Service Compensation Scheme, which provides compensation to civil servants in the event of redundancy.

CPV: Pension fund administration services

The lotProcurement structure

single lot · no lot value published
Lot #1Cabinet Office is responsible for the management of the Civil Service Pension Scheme…Awarded

Cabinet Office is responsible for the management of the Civil Service Pension Scheme (CSPS) and the Royal Mail Statutory Pension Scheme (RMSPS) - the third and sixth largest pension schemes in the UK respectively. The CSPS is currently administered under contract by MyCSP Ltd and the contract is due to expire on 31 December 2021. Additional work has become necessary between early 2021 and mid 2023 In order to allow the contracting authority to meet its obligations in response to the McCloud judgment on the transitional protection elements of the 2015 public sector pension scheme reforms. This cannot be carried out by an alternative provider for economic and technical reasons without causing significant inconvenience or substantial duplication of costs for the contracting authority. Accordingly, the contracting authority has entered into an agreement with MyCSP to extend the contract by two years. The RMSPS is currently administered under a separate contract with Capita, which expires in September 2023. Additional information: Cabinet Office expects to run a single procurement for both schemes. An advert will be published in Q2 of 2021 with contract award in 2022. To inform the procurement, Cabinet Office is undertaking pre-market engagement and would welcome views from suppliers on: Delivery Model, Service Transformation, Transition, Technology, Commercial models and risk appetite.

Delivery: UK

Procedure terms & legal framework

From the official record
Procedure method
Award procedure without prior publication of a call for competition
Legal basis
CELEX · 32014L0024 Public Contracts Regulations 2015 (Directive 2014/24/EU)
Procurement category
Services
Notice status
Awarded without competition
Procurement threshold
Unspecified in notice
Regulatory regime
Standard
Commercial structure
Stand-alone contract (no framework)
Competition type
Direct award (no call for competition)
GPA / WTO covered
Yes (GPA)
Recurring procurement
Unspecified in notice
First published
27 Jan 2021, 22:56 GMT
Last source update
27 Jan 2021, 22:56 GMT
FTS notice number
2021/S 000-001698
Classification (CPV)
Pension fund administration services
Delivery area
UK
Official registry OCID
ocds-h6vhtk-028df8 Find a Tender
Why no open competition
Additional deliveries by the original supplier ordered under the strict conditions stated in the directive
Published justification

Cabinet Office is responsible for the management of the Civil Service Pension Scheme (CSPS) and the Royal Mail Statutory Pension Scheme (RMSPS). MyCSP Ltd administers the CSPS, and the contract expires on 31 December 2021. Additional work has become necessary to allow Cabinet Office to meet its obligations in response to the McCloud judgment on the transitional protection elements of the 2015 public sector pension scheme reforms (the “2015 Remedy”). An alternative provider cannot deliver this work for technical reasons, and without causing significant inconvenience or duplication of costs. The principle technical issue is the need to administer the 2015 Remedy from early 2021 alongside the core scheme administration, which timeline precludes the opportunity to procure and transition the services to an alternative provider. It is expected the 2015 Remedy will take three years to complete. Continuing with the current provider allows the Cabinet Office to meet the immediate needs of scheme members who have already taken pensions and may need to have their pensions adjusted under the 2015 Remedy or who have been denied ill health retirement pensions which may be granted due to the 2015 Remedy. In addition to meeting the needs of those retiring over the coming few years. For a third party to deliver the 2015 Remedy separately from the core pension administration would require substantial duplication of costs and be technically difficult due to the need to; replicate the scheme calculations through a second pension administration system; transition and duplicate scheme data; maintain two parallel databases; and interface data between two administrators to ensure consistent and accurate communication with members and employers to calculate the benefits. Accordingly, Cabinet Office has entered into an agreement with MyCSP to extend the contract by two years and to deliver the 2015 Remedy programme. Cabinet Office expects to commence a new procurement exercise for the administration of both CSPS and RMSPS in Q2 of 2021. As set out in the additional information section, Cabinet Office will carry out pre-market engagement to inform the procurement exercise for replacement CSPS and RMSPS contract(s).

Commercial outcome & contract awards

Published awards, contracts and bid statistics, not a forecast
Awards 1
Awarded value £44,762,3641 contract exc. VAT
Bids received 1
Contracts signed 1latest 20 Jan 2021
Awarded toValueDateStatus
MYCSP LIMITEDAdministration of Civil Service Pensions£44,762,364 †—Awarded

Contracts

  • Administration of Civil Service Pensions · MYCSP LIMITED

    Signed
    20 Jan 2021
    Value
    £44,762,364
    Status
    active

Bid statistics published by the authority

BidsSMEVCSEValid bid range
1bids———

Contracting authority & participating public bodies

The Minister for the Cabinet Office acting through Crown Commercial Service

Contracting authorityCentral GovernmentMinistry or any other national or federal authority, including their regional or local subdivisionsGeneral public services 9th Floor, The Capital, Old Hall Street, Liverpool, UK, L3 9PPContact name, email, phone

Dispute resolution & review bodies

  • High Court of England and WalesReview body London

Bidders & participating suppliers

1 commercial party on the notice
  • MyCSP LimitedAwarded supplier Park Square, Bird Hall Lane, Stockport, UK, SK3 0XM

Official documents & specifications

Official links; attachments are not copied

No document links were published on the notice.