Yahoo News What will happen to the Lancashire MPs who lost their seats?
While the record influx of 335 new MPs will be celebrating their wins those who lost their seats now face a life outside of Parliament.
Lancashire MPs Katherine Fletcher, Sir Jake Berry, Nigel Evans, Paul Maynard, Antony Higginbotham, Kate Hollern, Sara Britcliffe and Andrew Stephenson are now effectively out of work having lost their seats in last week's General Election. Their staff - both local and in Westminster - have been made redundant as a result.
They now face deciding on their next steps - do they stay in politics, will they enter the 'normal' world of work or return to their previous careers, and do they intend to stand again at the next General Election?
What happens to an MP when they lose their seat?
As well as receiving their salary for the month in which the General Election took place, MPs may be entitled to additional payments. Anyone who has been an MP for at least two years is entitled to a Loss of Office payment while all are entitled to a Winding-up Payment. Outgoing MPs have five days to clear up their offices in the Houses of Parliament - at 11.59pm on the fifth day their security passes will be deactivated.
READ MORE: New chapter for Ribble Valley as Labour councillors take their seats
Loss of Office payment
The amount of the Loss of Office payment will be equal to double the statutory redundancy entitlement.
The amount each MP will receive depends on their age and length of service. Those aged 22 to 40 will get two weeks' pay for each full year worked while those over 40 will receive three weeks' pay for each full year worked. Length of service is capped at 20 years.
MPs are only eligible for such payments if they have held office for a continuous period of at least two years and stand for re-election but are not re-elected. MPs who choose to stand down prior to an election are not entitled to any payment.
Loss of Office payments are only made to eligible MPs once they have:
issued redundancy notices to staff;
repaid any outstanding debts to IPSA;
submitted all expense claims for the period running up to the election;
carried out all administrative tasks; and
any other necessary tasks identified by IPSA.
As MPs do not receive any salary following the election, but are still expected to undertake work winding up their parliamentary affairs, MPs who are entitled to a Loss of Office payment can request that they are paid what would have been their full equivalent salary for the remainder of the month of the general election, which is deducted from their total Loss of Office payment entitlement.
Loss of Office payments are made to all eligible MPs regardless of any additional responsibilities or positions. MPs who are enrolled in the pension scheme, the Parliamentary Contributory Pension Fund, will be eligible for their pension once they reach pensionable age.
Winding-up budget
Financial support is also available through the ‘winding-up budget’ to former MPs following a general election either because they have not stood for election or because they have lost their seat at the election. It is also available to MPs who cease to be an MP during a Parliament. The winding-up budget is designed to meet the costs of completing the outstanding parliamentary functions of former MPs. This includes the costs of closing down constituency offices.
Winding-up payment
MPs who lose their seats also receive a winding-up payment (different from the winding-up budget). The winding-up payment is calculated based on two months’ net salary and is intended to provide financial support to MPs while they are closing down their parliamentary affairs. As of April 2024 MPs were paid a basic salary of £91,346 which means a Winding-up payment will be in the region of £15,224.
