Agenda item

The covering report will follow

RECOMMENDED:      1)          That the content and recommendations of the report of the Independent Remuneration Panel dated November 2024 be noted.

2)             The Members Allowances for 2025-2026 set out in Table 3 of this report are approved.

3)             That the Members’ Allowance Scheme 2025-2029 attached as Appendix 2 be approved to come into effect on 1 April 2025 for a period of four years, subject to being updated with the Members Allowances approved at recommendation 2 above.

4)             That following the 2025-26 year, indexation be applied to Members Allowances for 3 years in line with the percentage increase to the national joint council for local government pay services pay grades spinal column point 43.

5)             That the Chief Finance Officer be delegated to approve non-material revisions to the Members’ Allowance Scheme, including the levels of allowances to reflect the current figures after indexation has been applied.

Reason for Decision

To comply with the requirements of The Local Authorities (Member's Allowances) (England) Regulations 2003 and set the allowances for 2025/29.

The Cabinet has had regard for the recommendations of the IRP and is recommending to Council Changes to the recommendations on the items set out in the report, including the reduction of the public service discount (PSD) from 20% to 5% as it was deemed appropriate to have a level of PSD, but not as high as that recommended by the panel.

The Cabinet noted that it is important that some element of the work of members continues to be voluntary, but that in accordance with the issued guidance, this must be balanced against the need to ensure that financial loss is not suffered by elected members, and further to ensure that, despite the input required, people are encouraged to come forward as elected members and that their service to the community is retained. Cabinet considers that a 5% public sector discount is the appropriate balance.

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The Assistant Director Central Services presented a report which informed members that in accordance with the Local Authorities (Member’s Allowances) (England) Regulations 2003, all local authorities were required to appoint an independent remuneration panel (IRP) to advise on the terms and conditions of the scheme for Members allowances every 4 years.  Local authorities must have regard to the recommendations of their IRP before making decisions on the Member’s Allowances Scheme. 

In debating the report of the Panel the Leader drew attention to the elements of the report which members had indicated they did not support:

·         Public Service  Discount (PSD) – Members were not in support of the suggested at 20%.  A debate was held on the fact that the report stated that allowances should encourage people from all backgrounds to become councillors, and those that do so should not suffer unreasonable financial consequences as a result.  It was noted and discussed that the Corporate Performance Panel had proposed that 0% PSD be applied. Cabinet considered that an element of PSD should be applied, it was therefore proposed that 5% was an appropriate level of Public Service Discount (PSD).

·         The IRP recommendations regarding the ICT Allowance was not supported as members provided considerable resources in support of their council work.

·         The recommendations on SRAs for Licensing and Appeals Board and Committee Vice Chairs were not supported as they were considered a reduction in allowance.

·         IRP recommendations on  larger group deputy leader, other opposition group deputy leaders SRAs were not supported,

Under standing order 34 Councillor Ware addressed the Cabinet and drew attention to advice received from the Government that they would welcome an increase in allowances for members in order to attract good councillors to the role.

Members drew attention to the impact that being a councillor had on family life.

Cabinet extended their thanks to the Independent Panel for their deliberations.  

RECOMMENDED:     1)         That the content and recommendations of the report of the Independent Remuneration Panel dated November 2024 be noted.

2)            The Members Allowances for 2025-2026 set out in Table 3 of this report are approved.

3)            That the Members’ Allowance Scheme 2025-2029 attached as Appendix 2 be approved to come into effect on 1 April 2025 for a period of four years, subject to being updated with the Members Allowances approved at recommendation 2 above.

4)            That following the 2025-26 year, indexation be applied to Members Allowances for 3 years in line with the percentage increase to the national joint council for local government pay services pay grades spinal column point 43.

5)            That the Chief Finance Officer be delegated to approve non-material revisions to the Members’ Allowance Scheme, including the levels of allowances to reflect the current figures after indexation has been applied.

Reason for Decision

To comply with the requirements of The Local Authorities (Member's Allowances) (England) Regulations 2003 and set the allowances for 2025/29.

The Cabinet has had regard for the recommendations of the IRP and is recommending to Council Changes to the recommendations on the items set out in the report, including the reduction of the public service discount (PSD) from 20% to 5% as it was deemed appropriate to have a level of PSD, but not as high as that recommended by the panel.

The Cabinet noted that it is important that some element of the work of members continues to be voluntary, but that in accordance with the issued guidance, this must be balanced against the need to ensure that financial loss is not suffered by elected members, and further to ensure that, despite the input required, people are encouraged to come forward as elected members and that their service to the community is retained. Cabinet considers that a 5% public sector discount is the appropriate balance.