Northamptonshire County Council: £66,000 pay-off for departing LGSS boss

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Image caption,

Northamptonshire County Council is being run by government commissioners and had a projected £21.1m overspend for 2017-18

The former head of shared services jointly run by a "failing" council received a £66,000 pay-off.

Managing director of Local Government Shared Services (LGSS) John Kane took early retirement at the end of March after five years in charge.

Northamptonshire County Council's draft accounts for 2017-18, external show he was given the money on top of a £152,000 salary.

A spokesman for LGSS said the payments Mr Kane received were made "in recognition" of his early retirement.

Founded in 2010, LGSS is a body funded by Cambridgeshire, Northamptonshire and Milton Keynes councils.

It looks after a large number of services for Northamptonshire including HR, legal services, temporary employment, IT services and revenue and benefits collection.

Mr Kane, who has been replaced by Sarah Homer, received a total sum of £239,000 - including pension contributions during the 2017-18 financial year and his pay-off was made for loss of office and payment in lieu of notice.

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The council has announced plans to sell its historic County Hall building to cut costs

The LGSS spokesman said the partner councils "were planning a review of LGSS and agreed an earlier timescale for this and subsequently the retirement was taken earlier" and that the "payments were in recognition of this".

LGSS was heavily criticised by government inspector Max Caller in his best value report which recommended the county authority be abolished.

In his March report Mr Caller said: "There are a number of areas where the relationship with LGSS at best confuses accountability and at worst prevents it."

The council is being run by government commissioners and had a projected £21.1m overspend for 2017-18.

On Monday, it was announced it planned to sell its historic County Hall building in order to bring down annual rental costs and increase occupancy at its newly opened £53m headquarters.

News of the payment to Mr Kane comes after a £95,000 pay-off for the former chief executive of NCC was described as a "slap in the face".

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