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David Cameron secures extra £282,000 in severance pay for personal aides despite official advice

'I do not believe there is a case for awarding higher sums than those for which the contract allows'

Ashley Cowburn
Political Correspondent
Friday 15 July 2016 14:43 BST
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David Cameron speaks as he leaves Downing Street for the last time
David Cameron speaks as he leaves Downing Street for the last time (Getty)

One of David Cameron's final acts as Prime Minister was to overrule strongly worded civil service advice so that his advisers would get an extra £282,000 – or, an additional six months’ salary – in severance pay because of his resignation.

Mr Cameron's decision will take the severance pay bill for his closest allies from £747,045 to £1,029,938, and set a precedent across all Government departments which could lead to another 30 special advisers getting the same deal, a top civil servant warned.

John Manzoni, the cabinet office permanent secretary, strongly opposed the move. In a letter to Mr Cameron he wrote: “My strong advice is that we continue to abide by the provisions in their contracts of employment.”

Mr Manzoni added: “I do not believe there is a case for awarding higher sums than those for which the contract allows. Legal advice supports this position, and lawyers have been clear that awarding a further month’s salary for special advisers in this position would constitute a payment above the contractual entitlement.

“The contract itself is designed to provide some degree of certainty and security for individuals who take on these roles in the knowledge their appointments may come to an end at short notice.”

Mr Manzoni added: If the Prime Minister’s view is that we should nevertheless proceed with awarding six months’ severance pay I will proceed accordingly, but I would request his written direction in order to do so.

Mr Cameron’s principal private secretary, Simon Case, replied to Mr Manzoni that the then PM would issue the direction regarding the long-serving special advisers who were reappointed after last year’s election, because “he is conscious that the situation they find themselves in is through no fault of their own.

“The termination of their employment has been sudden and unexpected, and he does not wish to exacerbate an already difficult and uncertain time for them by inferring that their long and loyal service is not fully recognised.”

Mr Case, who said Mr Cameron wanted the six months rule applied across Government, sent the letter on Wednesday – the day Mr Cameron quit Downing Street for good – in response to Mr Manzoni raising his concerns the previous day.

The Independent has contacted Downing Street for a comment.

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