Liz Truss will be entitled to an annual allowance of $177,000 as ex-prime minister

After serving a 44-day term, Liz Truss will be able to claim an annual allowance of up to £115,000 (C$177,000) as ex-prime minister for the rest of her life. But as Britons grapple with a cost of living crisis, several internet users and opposition politicians are urging him to refuse the state-funded allowance.

Britain’s prime minister — whose radical and highly contested economic agenda sparked a political and financial crisis — tendered her resignation on Thursday, making her tenure the shortest in the country’s history.

Several British media have reported in particular the remarks of the leader of the Labor Party, Keir Starmer, who believes that Mme Truss “is not entitled to this allowance”, after only 44 days in office. The leader of the Liberal Democrats Party, Ed Davey, agrees, asking the British leader to refuse the allowance.

“Because she was Prime Minister for 6 weeks, Liz Truss will be able to claim an annual allowance of £115,000 for the rest of her life. Meanwhile, one in seven people in the UK are skipping meals to pay their bills,” Labor MP Nadia Whittome said on her Twitter page.

“Why not help people instead who are struggling with their gas bills?” “, deplores a user, among dozens of others.

“I have hardly any petrol in my car, I have no money for food. We eat what we have left. I don’t get paid until Tuesday and my bills are due. Then I hear that. Disgusting,” adds another woman.

The British leader will be eligible for the money, under the Public Duty Costs Allowance (PDCA), a government program introduced in 1991 by then Cabinet Secretary Robin Butler, following the resignation by Margaret Thatcher.

What is PDCA?

This is an annual allowance paid to “help former prime ministers still active in public life”, can we read on the British government website.

The sum of money, capped at £115,000 a year since 2011, is intended to cover the real cost of continuing to hold public office, should the occasion arise. It reimburses former prime ministers for office and secretarial expenses, such as staff salaries or travel to events where they appear as ex-heads of state.

The allowance cannot therefore be used for personal purposes. Not being granted automatically either, it is paid after receipt of receipts which can attest to the expenses.

Former Prime Ministers have not always claimed the full amount. According to the Cabinet Office annual report for the year 2020-2021, former Prime Ministers John Major and Tony Blair claimed the maximum allocation ($177,000), compared with $176,584 for Gordon Brown, $174,600 for David Cameron and $89,025 for Theresa May.

The latter are also entitled to a retirement allowance to contribute to the retirement expenses of their staff. This is limited to a maximum of 10% of the annual indemnity paid.

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