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Capita

Location: Newcastle upon Tyne
Website: https://www.capita.com/

Capita is one of the United Kingdom’s largest business process outsourcing and professional services organisations. Founded in 1984 as part of the national bus company to provide administrative services, Capita was separated through a management buy‑out in 1987 and later listed on the London Stock Exchange. Over the ensuing decades it expanded rapidly through acquisitions and contract wins, becoming a major provider of outsourced support services to both the public and private sectors across the UK and internationally.

Capita’s core business involves delivering outsourced services that help organisations manage complex administrative and operational functions. These include customer contact centres, human resources and payroll systems, IT and digital transformation projects, finance and accounting services, and back‑office support functions. In the public sector, Capita has worked with central government departments, local authorities, NHS trusts, and educational institutions to manage services such as benefits processing, recruitment, licensing, and managed IT services. Its services are designed to deliver efficiency improvements, cost reductions, and innovation through technology and process expertise.

Over time Capita became known for both its size and the breadth of its involvement in public services. Some of its largest contracts have included work with the UK Government in areas such as the Help to Buy equity loan scheme, driving licence processing for the Driver and Vehicle Licensing Agency (DVLA), and health recruitment services for the NHS. At its peak, Capita employed tens of thousands of staff and was a high‑profile example of public service outsourcing. However, the company has also faced significant challenges, including contract delivery issues, financial pressures, and political scrutiny over the performance of key services.

In response to these challenges, Capita has undergone extensive restructuring and strategic refocusing in recent years. This has included divestment of non‑core businesses, cost‑cutting measures, and efforts to strengthen delivery performance and profitability. The leadership has emphasised improving service quality, reducing reliance on low‑margin contracts, and investing in digital transformation capabilities. Capita has also sought to rebuild trust with public sector clients after high‑profile contract disputes and delivery shortcomings led to reputational challenges.

Despite its difficulties, Capita remains an important player in the outsourcing and professional services industry. Its work touches many aspects of public life and private‑sector operations, from customer service centres to digital platform delivery. As the organisation continues to adapt to a changing economic and political climate, its ongoing transformation efforts aim to balance operational performance with sustainable growth, and to maintain its role as a partner to large organisations seeking external expertise in business operations and technology delivery.

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