Huge Public Service Redundancy Pay-Outs “Incense The Public”

A senior civil servant has received a £500,000 retirement pay-off that sets a new Whitehall record for the most money pocketed by a mandarin in a single year.

Clare Moriarty, 57, has retired after 35 years working across the Civil Service. She has been Permanent Secretary to Defra and Department for Exiting the EU. She has landed a redundancy payment of over £300,000 on top of her £180,000 salary. The sum is more than three times the new public sector pay-off limit set to be introduced.

Moriarty landed a redundancy payment of more than £300,000 on top of her £180,000 salary and pocketed a bonus of close to £20,000 for good measure. She also received an extra £137,000 in her pension pot, taking its total value to a colossal £1,833,000, and her annual pay packet to almost £650,000.

Her redundancy payment alone, £260,00 plus £45,000 “in lieu of notice” is more than three times a new public sector pay-off limit which is being brought in after the Government admitted that huge pay-outs “incense the public”. Moriarty had been in the Civil Service for 35 years, rising to the rank of Permanent Secretary at the Department for the Environment before moving to the same role at the Department for Exiting the EU last year.

When the Ministry was closed after Boris Johnson finally delivered Brexit in January, she briefly moved to the Cabinet Office before it was announced that she was leaving Whitehall at the end of March. Moriarty paid gushing tribute to her colleagues, writing on Twitter ‘I could not have asked for better, more committed colleagues in seven departments over 35 years. I will always be a huge supporter of the Civil Service and its wonderful people… I salute you”.

The Cabinet Office report states her total remuneration for 2019-20, including pension contributions, was £645,000 to £650,000. A footnote reveals “The combined figure includes salary of £180,000-£185,000; a redundancy payment of £262,185 and compensation in lieu of notice of £45,450”.

Her pay-out is even bigger than the £248,189 expected to be made to Cabinet Secretary Sir Mark Sedwill after he was forced out by Boris Johnson. It dwarfs the £95,000 cap on severance payments the Government has repeatedly promised to introduce over the past five years.

West Lancashire Borough Council last made redundancy payments of £112,386 to the Chief Executive, £90,616 to the Director of Development and Regeneration and £64,205 to the Borough Solicitor. “Redundancy costs have been calculated in accordance with the Council’s Redundancy Policy, which complies with the Local Government (Early Termination of Employment) (Discretionary Compensation) (England and Wales) Regulations 2006. Pension strain cost will also be paid to the Pension Fund of £422,000. The pension strain cost has been calculated in accordance with the Local Government Superannuation Scheme Regulations. Council Policy is that when making posts redundant there should be a payback period of less than three years. The changes to management structure agreed by Council provide a payback period of 2.2 years.

And prior to that lot the cost of the one voluntary redundancy was the highest for WLBC since Gill Rowe left with £386,116. The Annual Accounts include “Director of Leisure and Well Being Dave Tilleray (left by voluntary redundancy Jan 2018) Salary £66,239, Expenses £126, Compensation for loss of office £84,323, Totals before pension £150,688, Pension contribution £186,663, Total £337,351″.

Do you have a feeling of being mugged?

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