Provision of Civil Service Pension Scheme (CSPS) and Royal Mail Statutory Pension Scheme (RMSPS) administration services

Description

The Cabinet Office manages the delivery and administration of the Civil Service Pension Scheme (CSPS) and the Royal Mail Statutory Pension Scheme (RMSPS). We will shortly begin a procurement process, subject to approvals, to put in place new administration solutions for both schemes. We want services that put excellent member service and experience at the heart of everything that we do. For the CSPS, we are looking to transform the service provided to the 1.6 million members and the 300 plus participating employers. For the RMSPS, we want to ensure the members get the excellent service that they rightly expect. Above all we want to ensure that the right people get the right benefits at the right time and at the right cost to the taxpayer. We are looking for administrators for each scheme who can deliver our aim. The purpose of this Prior Information Notice (PIN) is to initiate engagement with the market for the provision and procurement of solutions required to manage the administration of pensions, other payments and the provision of related customer and employer organisation interfaces and services for the Civil Service Pension Scheme (CSPS) and the Royal Mail Statutory Pension Scheme (RMSPS). It is envisaged the procurement will comprise 2 lots as follows. Lot 1 for the CSPS and Lot 2 for the RMSPS. Each Lot will have its own contract. Lot 1: Civil Service Pension Scheme Lot 1: CSPS The CSPS is the 3rd largest UK occupational pension scheme with approximately 1.6 million members and 300+ employers. We aim to transform the administration of the CSPS, aspiring to become the UK’s best administered and managed public-sector pension scheme. We are seeking a contractor who shares our vision, and will work in partnership to deliver a service that puts member experience at its heart, whilst also transforming the service for both members and employers. Contractors must demonstrate a commitment to and track record for delivering incremental and continuous improvement. The service will include: implementing a transformed Operating Model paying c.£6.7 billion a year in pensioner benefits providing a core service compliant with scheme rules and legislation, the regulator codes of practice and industry good practice. transforming employer and member experience and service delivering services to employers that reduces administrative burdens collecting and accounting for c.£4.5 billion of contributions a year from the scheme employers We want to transform the current CSPS service, in particular the member experience. We want to have in place a service that is as pleasing as possible for members, that does not rely on a one-size-fits-all approach and that demonstrably shows a strong emphasis on continuous improvement throughout the length of the contract. We will want a service that places emphasis on member engagement in a way that enables the members to understand their benefits and options available to them, and enables them to effectively and confidently plan for their retirement. Under the Public Service Pensions Act 2013, the Prime Minister is the Scheme Manager. In practice, the Cabinet Office carries out the day-to-day management of the scheme. The service is a complex one and its profile has increased considerably over the last few years. In common with the other large UK Public Sector schemes, we regularly benchmark the CSPS’ performance. www.civilservicepensionscheme.org.uk Lot 2: Royal Mail Statutory Pension Scheme Lot 2: RMSPS The RMSPS is the 6th largest UK occupational pension scheme, with approximately 365,000 members. For the RMSPS, we are looking for a service that improves throughout the course of the contract for the deferred and pensioner members (unlike the CSPS, there are no active members). The service provided should be high quality and low cost and will include: implementing a transformed Operating Model paying c.£1.4 billion a year in pensioner benefits providing a core service compliant with scheme rules and legislation working closely with the Royal Mail current pension scheme with regard to administration and paying benefits for joint members (members with pension benefits in both RMSPS and also the Royal Mail Pension Plan administered by Royal Mail). Cabinet Office fulfils the role of Scheme Manager for the RMSPS. While it is a ‘closed’ scheme, and has less members and only two employers, we place high value on all our members’ services and experiences. As such, we would expect to see incremental continuous improvement to services for RMSPS, throughout the course of the new contract. www.royalmailsps.co.uk Additional information: Any procurement will comply with the Public Contracts Regulations 2015.