The UK Treasury offers £100K severance to 300 staff by 2030 to cut costs, as part of a 16% Whitehall reduction plan.

The UK Treasury is offering up to £100,000 in voluntary severance to encourage around 300 staff to leave by 2030 as part of a broader government plan to cut Whitehall administrative costs by 16%. The move, led by Chancellor Rachel Reeves, aims to reduce the department’s size after a significant expansion during Brexit and the pandemic. While the Treasury is prioritizing voluntary departures, mandatory redundancies may occur if targets aren’t met. The initiative includes a hiring freeze and is part of 36 exit schemes across government with £300 million allocated for payouts. Concerns remain about morale and the potential impact on economic management.