Civil Servants: Redundancy

(asked on 2nd February 2026) - View Source

Question to the Cabinet Office:

To ask His Majesty's Government whether voluntary exit or redundancy packages offered to civil servants are subject to a maximum cap; if so, whether that cap includes pension elements or pension-related costs; and what the current limits, eligibility criteria and conditions are for those packages across departments, including the Treasury.


Answered by
Baroness Anderson of Stoke-on-Trent Portrait
Baroness Anderson of Stoke-on-Trent
Baroness in Waiting (HM Household) (Whip)
This question was answered on 4th March 2026

The maximum cap for a Voluntary Exit (VE) or Voluntary Redundancy (VR) scheme relates to a salary cap of £149,820, mandatory for calculating higher value exit payments. There is no overall maximum cap, although exit offers should provide value for money. Pension top-ups are only mandatory for a VR scheme.

For both VE and VR, the minimum qualifying service is two years, although departments may exercise discretion.

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