The former managing director of Edinburgh's tram network, Lea Harrison, received a severance payment exceeding £320,000 when he departed his position in January. The payout has drawn sharp criticism from Unite the Union, which has labeled the sum a "scandal" and is urging the City of Edinburgh Council to investigate.

Council leader Jane Meagher expressed significant concern over the size of the payment, stating she could not find justification for such a payoff for an individual already earning a high salary. She has requested the new board of Edinburgh Trams to examine whether the necessary approvals were obtained for the transaction. Meagher noted that the payout was authorized by the previous board of Edinburgh Trams, and the council has since established a new relationship with the firm.

The merger of the boards for Lothian Buses and Edinburgh Trams occurred in late 2025 as part of a broader transport reform initiative in Edinburgh. Following the merger, Sarah Boyd was appointed as the chief executive overseeing both networks. Harrison has since taken on a new role as managing director of Blackpool Trams, beginning in March.

Unite also revealed that Lothian Buses independently authorized a separate payment of over £120,000 to former director Colin Barnes, details of which are set to be presented to Edinburgh councillors. Sharon Graham, the general secretary of Unite, criticized these payments as an "abuse of public funds" and suggested the money would have been better utilized to enhance the transport network and improve staff conditions.

Edinburgh's tram project has a history of controversy. A nine-year probe by Lord Hardie into the project's significant budget overruns and delays, which cost an additional £400 million and ran five years behind schedule, concluded in 2023. His report identified a "litany of avoidable failures."

According to the city council's annual accounts, Harrison's total remuneration package for the 2025-26 period exceeded £520,000, with £327,713 specifically designated as compensation for the loss of his office. Harrison managed Edinburgh Trams from 2016 until his departure earlier this year, having previously worked as a tram driver in Manchester.