Back in 2023, the Department for Education (DfE) conducted a tender exercise in which Indian IT firm Tata Consultancy Services (TCS) were announced as the company that would take over the administration of the Teachers’ Pension Scheme (TPS) in a 10 year, £233 million deal.
Since 1996, the TPS has been administered by Capita, with the formal two-year transition to TCS initially scheduled to take place from October 2023. The new contract was therefore expected to commence in October this year.
However, the DfE recently announced that the final handover has now been pushed back to summer 2026.
In its press release, the DfE did not explain the reason for the delay but did clarify that “The change in handover date will not impact any pensions or benefit entitlements, and we continue working with both providers to ensure current and retired teachers remain protected in this process.”
Once the handover is completed we anticipate that at some point there will be significant changes for both members and employers. We will provide further updates to our customers once we are aware of them.