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<p>The rules on councillors’ allowances are set out in the Local Authorities (Members’
Allowances) (England) Regulations 2003. The rules are clear that allowances are paid
on a pro rata basis should a councillor lose office or, is no longer required to undertake
a specific duty, during the course of the year. The rules make no provision for allowances
to be paid as a result of loss of office or no longer performing specific duties.
Any such exit payments would therefore be unlawful. Whilst I am aware that the last
Labour Government proposed legislation to facilitate such 'golden goodbyes' (DCLG,
<em>The Government Response to the Councillors Commission</em>, July 2008, p. 22),
we have no plans to amend the law in this respect.</p>
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