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She said it was clear Ms Donelan valued public money because she once turned down a redundancy payment after serving as education secretary for 36 hours.

When the subject was raised in the House of Commons, Leader of the House Ms Mordaunt noted that in July 2022 Ms Donelan had been entitled to "a redundancy payment of £16,000 for having been a secretary of state".

However, Ms Dhillon used her redundancy payment to develop an events business she had been running as a side-hustle, Ricco Events, which she then adapted into a digital marketing agency after lockdown restrictions.

Mr Kwarteng's letter to P&O boss Peter Hebblethwaite says the company "appears to have failed" to follow the correct process for making large-scale redundancies, which would include consulting with unions and staff representatives and notifying him through the Insolvency Service and the Redundancy Payment Service.

Many firms ask for volunteers, and offer an enhanced redundancy payment.