The new amount is double the £8,600 MPs were previously entitled to. Credit: UK Parliament/via Reuters
A golden farewell for MPs The number of those who will lose their seats in the next general election is doubling, according to The Telegraph.
MPs who voted no or chose not to run are in line for a £17,300 payment following a rule change introduced by the Independent Parliamentary Standards Authority (Ipsa), the House of Commons' supervisory body.
New amount in twice the £8,600 they were previously entitled to, with the taxpayer having to pay millions more in farewell payments.
This will be added to the already generous MP layoff packages, which are calculated at twice the rate of regular workers.
Politicians are entitled to claim reimbursement for the costs of «liquidating» their offices if they are voted out, including covering their £86,584 salary. Under the old rules, they were entitled to an eight-week salary, after taxes and national insurance, but now this amount has been doubled to four months.
Seventy-one deputies have already announced their intention not to run. And again, who can now earn up to 615,000 pounds for two. Opinion polls show the Tories could lose more than 100 seats, adding almost another £1m to the final bill, which will be paid for by the public.
«A kick in the teeth for taxpayers»
John O'Connell, executive director of the Taxpayer Alliance, said: «Doubling golden farewells for MPs is a kick in the teeth for taxpayers. Stranded Britons are already funding generous salaries, benefits and pensions for elected officials. Ipsa should keep this in mind when advising politicians to allocate more taxpayer money.”
The parliamentary oversight body announced the rule change in a ballot sent to MPs' offices during the summer holidays. It said the move would ensure «fairness in severance pay and provide adequate support for MPs and their positions when they leave Parliament.»
«The liquidation period was found to be too short to eliminate what could be complex office activities,» the independent body said. “Ipsa has seen problems with MP staff who have been contacted frequently after the liquidation period to help find receipts for business expenses.
“The liquidation period will now be four months from the date of the next general election. This additional time will allow former members to complete most administrative tasks and allow Ipsa to focus high quality support on newly elected MPs and staff.”
MPs must demonstrate to the spending oversight body that they are continuing their activities. work to close their offices in order to qualify for payments.
The change will also affect office workers, who often have to deal with business and administrative tasks after they leave. This came after MPs demanded higher severance pay, warning that «the best and brightest» would be barred from political careers.
«Smoother transition»
Along with the cash liquidation, MPs are also eligible for a lump sum «loss of office» payment, which is set at double the statutory rate of redundancy benefit. The generous terms meant that MPs who voted in 2019 were able to share nearly £2 million.
Ministers also receive a separate severance pay when they leave office, amounting to a quarter of their extra salary, with a cabinet member ministers will receive £16,876.
An Ipsa spokesperson said: “Following public consultations earlier this year, based on the facts we have and our own experience in previous elections, we agreed that the liquidation period is too short for former MPs and their staff who will close their offices and take care of unresolved cases.
“It is also unfair to expect those who close their offices to do so after their work is over. So we expanded it to provide a smoother transition for MPs and their constituents.”
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