Severance Payments

May 18th, 2022

The Department for Levelling Up etc published Statutory Guidance on 12 May 2022 on the making and disclosure of “Special Severance Payments” by local authorities in England. The Guidance is expressed to be “part of the best value regime”, is is issued under Section 26 of the Local Government Act 1999, and regard must be had to it pursuant to Section 3 of that Act.

Part 2 of the Guidance seeks to state what is a “Special Severance Payment”; Part 3 sets out considerations for local authorities on potential such payments; Part 4 addresses “special circumstances” in which it may be appropriate to consider making such payments; and Part 5 relates to Accountability and Disclosure, expressed by reference to payments of £100,000 and over, payments of £20,000 and above but below £100,000, and payments below £20,000.

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