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City councils

Hampshire County Council's Redundancy Payments Exceed £14 Million Over Two Years

Strategic Insights

— 1 min read

Hampshire County Council, a Conservative-run authority, paid out more than £14 million in redundancy payments to staff over the past two years, with £12.765 million being paid out in the 2024/25 financial year. This figure represents a significant increase from the £1.486 million paid out in 2023/24, with the council paying for 590 exit packages compared to 100 the previous year. The payments included contributions to pension schemes and in some cases voluntary ex-gratia payments.

Key Takeaways:

  • The total sum paid out in redundancy payments by Hampshire County Council in 2024/25 was £12.765 million, with 590 exit packages involved.
  • This represents a significant increase from the £1.486 million paid out in 2023/24, with 100 packages involved.
  • The payments included contributions to pension schemes and in some cases voluntary ex-gratia payments.
  • Labour group leader Cllr Kim Taylor attributed the increase to non-senior staff redundancy schemes, while Liberal Democrat group leader Cllr Keith House called the figures "frightening" and "totally out of hand".
  • The Lib Dem spokesperson for the council stated that a voluntary resignation scheme held in 2024/25 saw 340 employees leave the organisation, saving £14 million annually in ongoing staff costs.
  • Southampton City Council, meanwhile, saw its exit payments fall in 2024/25, but still spent just shy of £6 million over the past two years.

Statistics:

  • £12.765 million: Total sum paid out in redundancy payments by Hampshire County Council in 2024/25.
  • 590: Number of exit packages involved in Hampshire County Council's 2024/25 financial year.
  • £1.486 million: Total sum paid out in redundancy payments by Hampshire County Council in 2023/24.
  • 100: Number of exit packages involved in Hampshire County Council's 2023/24 financial year.
  • £14 million: Estimated annual savings from the voluntary resignation scheme held by Hampshire County Council in 2024/25.
  • £14 million: Total cost of redundancy payments to Hampshire County Council over the past two years.
  • £6 million: Total cost of redundancy payments to Southampton City Council over the past two years.

Sources:

  • Hampshire County Council
  • BBC News
  • Local Democracy Reporting Service (LDRS)
  • Hampshire County Council spokesperson
  • Cllr Keith House
  • Cllr Kim Taylor
  • Cllr Malcolm Wallace
  • Cllr Peter Baillie
  • Cllr Sam Chapman

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