Bereaved families could face 'unjust' tax bill after civil service pension delays — Live Feedhttps://www.live-feeds.com/feed/bereaved-families-could-face-unjust-tax-bill-after-civil-service-pension-delaysContinuously updated, source-cited coverage. Civil service pension delays risk unjust tax bills for bereaved familieshttps://www.live-feeds.com/feed/bereaved-families-could-face-unjust-tax-bill-after-civil-service-pension-delayshttps://www.live-feeds.com/feed/bereaved-families-could-face-unjust-tax-bill-after-civil-service-pension-delays#u148145Thu, 22 Oct 2026 23:11:26 +0000Bereaved families of civil service pensioners face potential tax bills on death benefits due to administrative backlogs in the Capita-run pension scheme. A two-year time limit on tax-free lump sum payments means some claims may miss the window because of these delays. The chairman of Parliament's Public Accounts Committee and other MPs argue that grieving relatives should not be penalized for administrative failures. Steve Webb has called for reform to protect these households from unexpected financial penalties resulting from the system's chaos.Why it mattersThe issue centers on the