Westminster: what their redundancy policy pays
Sourced from Westminster's own published policy, retrieved 2026-08-19.
Westminster's own policy
Published as Westminster City Council Pay Policy Statement 2024-25.
Westminster's policy states: 1.5 x statutory weeks, capped at 66 weeks' pay. This is calculated on the statutory weekly pay cap, the same limit used for the basic statutory calculation. The policy caps discretionary compensation at 66 weeks' pay.
"ICP will be payable subject to statutory limits of 66 weeks' pay maximum and will always be equal to or more than the SRP. (A) completed years of continuous local government service x (B) week's pay (actual but excluding overtime and honorariums) x (C) multiplying factor of 1.5 = ICP. The statutory maximum week's pay is used where this is higher than actual weekly pay for full time staff."
Like every local authority, Westminster sets this policy under its own discretion (regulation 6 of the 2006 Regulations, below) and can amend it. Read the document itself rather than relying on this summary alone: Westminster City Council Pay Policy Statement 2024-25, retrieved 2026-08-19.
A note on this figure: 'ICP' = Individual Compensation Payment, Westminster's name for the discretionary redundancy compensation scheme. Week's pay uses actual pay UNLESS the statutory cap on a week's pay is higher, in which case the statutory cap is used (payBasis recorded as capped to reflect the higher-of test, though in most real cases actual pay exceeds the statutory cap).
A note on these figures: the policy details below are published fromWestminster's own linked source document and are correct to our knowledge as at 2026-08-19. Treat them as indicative, read the source document for yourself, and check your own offer against it. Read how our figures are checked.
How this compares with the statutory minimum
Every employee with at least two years' service is entitled to statutory redundancy pay regardless of what their employer's own policy says. As at 6 April 2026, that is calculated using a week's pay capped at £751, up to a maximum of £22,530 for 20 years' service at age 41 or over.
Westminster's discretionary policy sits on top of that statutory floor, not instead of it: the statutory redundancy payment is calculated first, and the council's own enhancement (above) applies in addition, on the basis stated in its policy document.
LGPS and early pension access
Under regulation 30(7) of the Local Government Pension Scheme Regulations 2013, an LGPS member aged 55 or over who is dismissed for redundancy or business efficiency is entitled to immediate payment of their pension, rather than waiting until normal pension age. This is separate from, and on top of, any redundancy payment above.
Westminster's own policy adds: Under the LGPS, eligible staff aged 55 or over who have not reached their normal pension age may request flexible retirement, retiring early but continuing to work part-time with permanently reduced hours; pension payments are released early for redundancy/ill-health retirement where statutory and local pension policy criteria are met.
Source: LGPS Regulations 2013 (SI 2013/2356), regulation 30(7). Read the regulations. This does not compute a pension figure; it states the rule only, and does not replace advice from your pension fund.
Settlement agreements at Westminster
Where a council wants to agree enhanced terms, confirm the LGPS position, or resolve a related dispute alongside a redundancy, it is often documented in a settlement agreement rather than a plain redundancy letter. A settlement agreement is only legally binding once you have received advice on its terms from a relevant independent adviser such as a solicitor, and your employer is usually required to contribute to the cost of that advice.
Before you sign anything, work out what Westminster's own policy and the statutory minimum add up to on their own, so you can see what a settlement offer is actually adding.
Related
Get your redundancy offer reviewed
A relevant independent adviser, such as a solicitor, can check how Westminster's offer compares with your statutory entitlement and their own policy before you sign anything. Your employer is usually required to contribute to the cost.