Councillors vote to approve £500 pay rise – despite ‘difficult economic climate’

South Tyneside councillors have approved a pay rise for themselves after an independent panel recommended an increase.
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The increase was suggested by South Tyneside’s ‘Independent Remuneration Panel’ (IRP), which regularly reviews how much councillors can or should receive in allowances and expenses.

It’s latest report recommended boosting basic allowance payments to bring them in line with regional neighbours.

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But despite arguing a annual basic allowance of more than £11,000 would be appropriate in the borough, the panel recognised this would be a “substantial increase” amid a “difficult economic climate”.

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Instead, the panel said this figure should be an “aspiration” and achieved through a “staged approach”, starting with an increase of £500, taking the basic allowance which all 54 South Tyneside councillors can claim from £7,667 to £8,167 for the 2022/2023 financial year.

The changes formed part of a package of proposals largely approved at South Tyneside Council’s annual meeting on Tuesday (May 17).

This included reducing special responsibility allowances (SRAs) for some senior councillors, while others, such as the leader of the council, will see payments remain at current levels.

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Rules on claims for travel, subsistence and overnight accommodation were also changed.

Joanne Bell, cabinet member for governance, finance and corporate services, said the changes a “first step” towards bringing South Tyneside into line with regional neighbours.

Cllr Bell said: “I think we’ve got to be mindful that we’re way below where we should be and that is what the panel have said.

“In the last ten years, the basic allowance for this council has increased by £420, therefore we have looked at our regional neighbours and we’re far far below any of them, some by an extremely large amount.”

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David Francis, leader of the council’s Green Party group, said the majority of proposals “made perfect sense”, including an annual report on hospitality spend.

But he added he was uncomfortable voting for an increase in basic allowance during a cost of living crisis.

Conservative councillor Ian Forster promised to stick with a previous election pledge not to take any increase in allowances and would donate the £500 to “local good causes” in his Cleadon and East Boldon ward, a pledge echoed by other councillors.

Joan Atkinson, deputy leader of the council, said she supported individual stances on allowances.

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But she added the payments were intended to attract a more diverse range of people to become councillors and reflect the work involved.

Following debate, while the increase in basic allowance was approved, a separate proposal to change telephone allowances was rejected.

This suggested that councillors could claim an allowance for either landline or mobile telephone costs but not both.

A number of councillors claimed both were needed to remain accessible to all residents, including the elderly and vulnerable.

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Councillors also agreed to defer one recommendation, about a cap on the number of special responsibility allowances, to the Constitution Committee for further discussion.

This included the maximum number of SRAs payable at one time not exceeding 50% of council members.

Further changes to the council’s members’ allowances scheme will be considered by councillors at a future date.