Principal Civil Service Pension Scheme (PO-7011)

Complaint summary

Mr Greenhalgh has complained that the PSE and MyCSP (the latter being made a party in lieu of the former administrator/paying agent of the Scheme, Capita Hartshead (Capita), and HMRC Pension Services), should not require him to repay an overpayment of pension that Capita paid to him in error having incorrectly calculated his pension. Mr Greenhalgh was not aware that his partial retirement pension should be abated and he says that recovery of the overpayment should be waived on the basis that he has changed his position and also that he has a defence of estoppel (by representation).

Summary of the Ombudsman’s determination and reasons

The complaint is not upheld against the respondents because, although I am satisfied that Mr Greenhalgh was not – or ought not reasonably to have been – aware that this pension should have been abated, he does not have a “change of position” defence, nor should the respondents be estopped from recovery. It follows that the respondents can pursue recovery of the overpayment. I have, however, found that Capita’s maladministration has caused Mr Greenhalgh distress and, as such, MyCSP must compensate him for this.