THE former Lydney town clerk who Cllr Alan Preest reported last week had received £150,000 after having to leave her post through illness says all she is getting is a modest pension.

Instead, although £150,000 was paid out by the council it went directly into the Civil Service pension scheme of which she is a member.

"No payment gets paid to me, it goes directly into the pension fund," she told the Review.

"I retired early on health grounds. The £150,000 has gone into the local government pension fund.

"I had been off work for some time because of a fractured back and fragility of my bones and naturally the town council needed to move forward.

"I don't know anything other than I was offered and accepted early retirement. I do not receive a lump sum, as has been reported."

Town Councillor Bill Osborne confirmed £150,000 had been paid to the fund but queried why the money had been needed in a lump sum.

"I don't understand why the town council wasn't allowed to pay this sum over a period of years," he said.

"If we'd been allowed to do it in instalments we wouldn't be in the difficulty we are now. But we have now ensured that this can't ever again happen in the future."

Cllr Preest is asking the Audit Commission to look into the affair after learning the money represented a massive 25 per cent of the town council's council tax precept.