Ironically the civil service is full of intelligent people and it's a competitive grad programme, but it's also wholly undesirable as a career path for many.
I know plenty of smart driven people who want to make a difference who won't go anywhere near the civil service for fear or bureaucracy or salary sacrifice or both. I also know plenty of people who left the civil service jaded by the whole experience.
I don't know what the solution is but I'm always a bit saddened that people end up moving money around or optimising clicks because there's no alternative if you don't want to get left behind