Legal action launched over teachers’ pension transfer delays
The Teachers' Pension Scheme (TPS) has been reportedly subject to significant delays in processing Cash Equivalent Transfer Values (CETV) requests
Law firm Leigh Day has launched a legal claim on behalf of former and current members of teachers’ union NASUWT who are facing long delays in obtaining pension transfer values.
The delays are causing financial losses and emotional stress, as the valuations are often needed for divorce proceedings or retirement planning.
The Teachers’ Pension Scheme (TPS), administered by Capita Pension Solutions on behalf of the Department for Education (DfE), has been reportedly subject to significant delays in processing Cash Equivalent Transfer Values (CETV) requests.
A CETV is needed to determine the value of a pension pot. Without the CETV it is almost impossible to reach a financial settlement in divorce proceedings or effectively plan for retirement. These delays have left thousands of current and former teachers waiting over six months for a response.
Capita has managed the TPS for 27 years, but in October 2025 the contract will transfer to Tata Consultancy. Lawyers say this ongoing transition raises concerns about accountability, as it is feared Capita may lack the incentive to resolve CETV delays before its tenure ends.
The DfE previously said it was on course to clear the remaining cases by the end of February 2025 before backtracking and saying this applied to “straightforward” cases only.
The Occupational Pension Schemes (Transfer Values) (Amendment) Regulations 2008 states that CETV calculations must be provided within three months of the applicant’s request or, in exceptional circumstances, six months.
The DfE previously said on 6 January 2025 that a total of 1,344 teachers were waiting for valuation from the TPS, while online reports indicated some have been waiting over 12 months.
The Leigh Day legal claim concerns delays and maladministration in the calculation of CETV for members of the Teachers’ Pension Scheme.
Those members of NASUWT who have been affected by delays of more than three months in receiving a CETV calculation may be entitled to compensation.
A petition has also been set up calling for the issue to be debated in parliament.
NASUWT general secretary Dr Patrick Roach said: “The unacceptable delays in processing CETV requests are placing intolerable financial and emotional burdens on teachers, many of whom are already dealing with significant personal challenges such as divorce or separation. Teachers who have dedicated their careers to public service deserve better than to be left in limbo.
“The government and Capita must act urgently to resolve these issues, provide compensation to those affected, and ensure that such failures are not repeated in the future. The time for excuses is over. Teachers need action, accountability, and fairness.”
Ryan Bradshaw, solicitor at Leigh Day, added: “This backlog must be cleared immediately, and those affected deserve compensation for their financial losses and the stress endured. Without proper accountability and reform, this situation sets a dangerous precedent for how we value and treat our public servants.”