Her 'unusual' and sudden resignation announcement as one of Whitehall's most senior civil servants in July 2012 prompted more speculation about the continuing political disputes and clashes within DECC. Energy Minister Ed Davey denied claims he had sacked Wallace. 
Wallace received an exit pay-out worth £472,000. The Telegraph reported that:
- The payment, which was sanctioned by the Treasury, is thought to be the biggest ever severance package and was made despite ministers announcing that such payments were to be capped at far lower levels.
- She is one of hundreds of Whitehall mandarins handed “absolutely staggering” six-figure pay-offs over the last 12 months, almost two years after Francis Maude, the Cabinet Office minister, claimed to have outlawed excessive severance deals.
- ... Around £209,783 of the payment was “discretionary” and £262,185 was compensation for severance, with the full deal signed off by Mr Davey and the Treasury. Sources at the Energy Department said Mr Davey was "informed" about the deal but did not play a role in negotiations. The sums have been paid into her £1 million pension pot and will allow her to retire almost a decade early. 
- Provost of Oriel College, Oxford University,
- Member of the CSC Leaders Advisory Group - holds this position in a personal capacity and which is not connected to her former role as Permanent Secretary at the Department of Energy and Climate Change.
Contact, Resources and Notes
- Fiona Harvey and Juliette Jowit, Energy department shaken by resignation of top civil servant, The Guardian, 20 July 2012, acc 14 October 2013
- Rowena Mason, £500,000 Whitehall pay-offs show gravy train is still rolling, The Telegraph, 03 Jul 2013, 10:00PM BST, acc 14 Oct 2013