Capita boss exits as profits plunge at beleaguered outsourcer

Tammy Harvey
March 3, 2017

The firm also issued a profit warning last September.

Capita, the outsourcing company that operates the London congestion charge, has said its chief executive is stepping down after it reported a big fall in profits.

The company announced £1.3 billion of major contract wins and extensions including mobilcom-debitel, which was selected as strategic partner to deliver transformational customer services, with a 7 year contract expected to be valued at £197 million.

Announcing his departure, Mr Parker - who will continue in his current role for now - said 2016 "has been a hard year for Capita" but that it was now a "simpler, more focussed group". Capita is under investigation by the BBC for how it collects the TV license fee, after claims it was too aggressive.

The stock will exit the FTSE 100 index of biggest United Kingdom -listed companies based on market capitalization following a decline in its share price over the past year.

The company said its board was now beginning the hunt for a new chief executive, with Mr Parker staying in the role in order to "facilitate a smooth transition".

"The proposed sale of our Asset Services businesses and Specialist Recruitment businesses are on track".

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