Golden goodbyes to help ex-MPs 'adjust'
The Leicester Mercury can today confirm that former Labour MPs Patricia Hewitt and Andy Reed both took "golden goodbye" payments worth tens of thousands of pounds.
Under the "resettlement grant" system, which has now been changed, former Leicester West MP Ms Hewitt was entitled to withdraw a £54,403 lump sum when she left her job as an MP.
Meanwhile, former Loughborough MP Andy Reed, who lost his seat to the Conservative Nicky Morgan last May, was entitled to £32,383.
It is the first time anyone has been able to confirm that any particular MP withdrew a grant, for months the House of Commons refused to release a list of who had done so and who had not.
The Mercury had to take its case that the list should be released to the Information Commissioner – which adjudicates disagreements relating to data release – before the Commons authorities backed down.
The Commons authorities have now finally written to the paper with a list showing that of the 225 MPs eligible to take the grant, 220 had done so.
The Mercury will have to submit another request to find out how much the MPs received.
Of the five that had not taken the grant, one, Rudi Vis, died last year.
Meanwhile three more – David Chaytor, Jim Devine and Elliot Morely – could not do so as they were subject to criminal proceedings for making illegal claims and have since been jailed.
The final member who did not claim, Harry Cohen, was banned from taking the grant by the House of Commons after it ruled he received £60,000 in expenses that he was not entitled to.
Those who did take the grant include former cabinet ministers Stephen Byers, Geoff Hoon, Charles Clarke and John Prescott. MP Derek Conway, who was found to have paid his son for a non-job in his parliamentary office, also took it.
Under rules in place in May 2010, MPs were entitled to a resettlement grant to "help them adjust" to non-parliamentary life.
The grant was worked out depending on the number of years the MP has served and their final salary.
Critics argued there was no need for the payment particularly where MPs earned significant wages from jobs outside Westminster. Ms Hewitt has held jobs simultaneously at Eurotunnel, Alliance Boots, BT Group, Barclays Capital and private equity group Cinven.
In February 2010, the parliamentary register of members' interests showed she had declared an income of £59,475 for 140 hours of work for the BT Group.
She had also registered £23,000 paid for 75 hours of work with Boots and £17,250 for 30 hours with Cinven.
Changes made to strengthen fairness and accountability in the system after the expenses scandal have since seen the grant greatly reduced – though the new system came into force only after Ms Hewitt left office.
As she is no longer an MP and does not have to register earnings, it is not known how much she receives from those jobs now.
Ms Hewitt said she did not want to comment on the matter yesterday.
Mr Reed was unavailable for comment.







10 Comments
by Trevor, Leicestershire.
Tuesday, April 05 2011, 10:15PM
“and here's me having to take a 30 hr per week job at minimum wage for a take home (net pcm) pay of £710.
Yes thats just £710 pcm and from that it costs me over £300 for petrol just to get to work. Politicians are freeloaders and out-of-touch with ordinary people.
.”
by Arden, Braunstone
Monday, April 04 2011, 5:30PM
“Typical socialist double standards they are worse than the bankers total hypocrites and shows that Labour can never ever be trusted again. Rural, Leics"
Learned from the best haven't they”
by pam, oadby
Monday, April 04 2011, 4:27PM
“is this what the programme "shameless" is about?”
by Jen, Leicester
Monday, April 04 2011, 3:08PM
“Nice timing LM !”
by Rural, Leics
Monday, April 04 2011, 1:53PM
“Typical socialist double standards they are worse than the bankers total hypocrites and shows that Labour can never ever be trusted again.”
by Steve, Countesthorpe
Monday, April 04 2011, 1:06PM
“I just read todays paper and apparently Bob Crow lives in a council house......that made me laugh!!! Criminal!!!”
by Steve, Countesthorpe
Monday, April 04 2011, 12:02PM
“Arthur Scargill is a millionaire and Bob Crow is also extremely well off.
I don't begrudge them it, but when will all of these MPs stop pretending to be Socialists!!
Don't ever believe these people are working for you!!!”
by bob, Glenfield
Monday, April 04 2011, 11:23AM
“If you are made redundent in the private sector you are only allowed £400 per year and if you leave you get nothing
why should MP's be any different.”
by CGLee, near Melton
Monday, April 04 2011, 11:23AM
“So the gravy train rolls on and on, and all at the expense of the taxpayer, the likes of you and me, who exist on far less than these greedy gannets. When is it all going to stop?”
by David, Great Easton, Rural Leicestershire.
Monday, April 04 2011, 10:49AM
“"Resettlement grants" how can these people hold their heads up high?
It is an absolute travesty and a thorough waste of public funds that after having well paid jobs for years plus additional executive and non-executive positions plus being on a gravy train of expenses and generous allowances folk who have failed to be re-elected are treated with such generosity.
No wonder the majority of our MPs are held in such contempt!!”