Council to investigate £327,000 pay-off for Edinburgh Trams boss

Edinburgh's council leader has initiated an investigation into a £327,000 severance package handed to the city's former trams boss.

Lea Harrison left his post as managing director of Edinburgh Trams in January, after its board merged with Lothian Buses to form a unified operation.

Unite the union described the payout as an "excessive golden goodbye" and called for Edinburgh city council to take action over governance processes.

Council leader Jane Meagher said she was "deeply concerned" by the scale of the deal and asked the new board to investigate whether proper approvals were given.

Meagher said the payout was signed-off by the former board of Edinburgh Trams, and the council had a "new relationship" with the company.

She added: "I cannot see any justification for someone already on such a high salary receiving this type of pay-off for leaving their job.

"We have written to the chair of the new board asking them to investigate whether proper procedures and board approval processes were followed in the agreement of this package."

Meagher said the council had also strengthened its oversight and reporting arrangements to "make sure this can never happen again".

The council merged the boards of Lothian Buses and Edinburgh Trams in late 2025 as part of Edinburgh's wider transport reform programme.

Sarah Boyd was appointed as the new chief executive to oversee both networks.

Lea Harrison took up a new post as managing director of Blackpool Trams in March.

Unite said Lothian Buses also authorised a separate £120,000 payment to a former director, revealed in documents that will go before Edinburgh councillors on Thursday.

Unite industrial officer Lyn Turner said: "Serious questions arise about why such excessive golden goodbyes were authorised by both Edinburgh Trams and Lothians Buses. Where was the governance?

"An immediate inquiry must be held by the council because it appears that there were no proper checks and balances in place."