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Business & education services

Capita hit by IT meltdown fuelling fears of cyber attack

Shares in Capita PLC (LSE:CPI) (Capita PLC (LSE:CPI)) have fallen after reports the outsourcing group is experiencing a major IT incident.

The Times initially noted the issues and the Guardian has also reported the problems which it said have triggered fears that the company that is in charge of crucial operations for the NHS and the military could be under cyber-attack.

EXCL: Capita one of the UK’s biggest outsourcing companies is investigating a major IT incident this morning as staff cannot login to its systems. Too early to say if it is a cyber security attack, it said. More to follow.

— Katie Prescott (@kprescott) March 31, 2023

Capita employs 52,000 people in Britain, Europe, India and South Africa. In the UK, its government contracts include delivering “digital, logistical and support services for all of England's primary care practitioners working in the NHS; GPs, dentists, opticians and pharmacists”

It also handles recruitment for the British army, maintenance at the UK’s Submarine Training Centre, fire and rescue operations for the Ministry of Defence and Transport for London’s road-charging system.

Katie Prescott at The Times quoted Capita: "We are aware of a technical issue with our systems which we are investigating.”

She reported that Capita staff have been unsuccessfully trying to access their systems since before 7am.

The Guardian added a source familiar with the outage said the National Cyber Security Centre, the Cabinet Office and other government agencies have been alerted to the incident, given its role in sensitive areas such as Royal Navy training centres and security at Ministry of Defence bases.

People at sites including critical national infrastructure have resorted to using radios, pens and paper, the source said.

Some employees still have access to computers and email and the company said its investigation was in the early stages and that it was too soon to tell if the failure was caused by a cyber-attack.

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