More council 'fat cats' than two years ago, data reveals

Despite pay freezes and job cuts, 31 local authority executives now paid over £150,

Michael Savage,Political Correspondent
Thursday 01 April 2010 00:00 BST
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(ALAMY)

The number of council bosses taking home six-figure salaries ballooned by more than 10 per cent last year, with 31 town hall officials paid more than the Prime Minister, new figures reveal today.

Despite the recession that saw pay freezes and redundancies for millions of workers, around 1,250 senior council staff earned £100,000 or more last year, a 14 per cent increase on 2007-2008. New figures on the hefty remuneration packages of Britain's highest-paid council executives, obtained under the Freedom of Information Act, revealed that an additional 31 executives were enjoying pay packets above £150,000 compared to two years ago.

The latest data, compiled by the Taxpayers' Alliance, found the average pay rise for the top earners was 5 per cent, well above inflation. It was nearly double the 2.7 per cent increase handed to nurses last year and more than twice the 2.3 per cent rise given to teachers.

From today, new rules come into force compelling local councils to reveal the pay, bonuses and perks of senior staff members earning above £150,000 a year, in a bid by the Government to assuage public anger over local authority "fat cats". Even tougher measures will be introduced to drive down the pay of council executives should the Tories win the next election.

The average remuneration package for the 1,250 highest-paid council staff was £125,745. Kent County Council (KCC) was found to have the most staff pocketing £100,000 or more, with 27 earning six figures. Liverpool metropolitan council came second, with 22. Two executives from KCC topped the list, scooping £365,000 and £305,000 respectively last year. The council refused to name the people in question. The sums included large redundancy packages as both left their posts in 2009.

Essex County Council boss Joanna Killian was found to have become the highest-paid local authority chief executive. She came third overall on the list, with a remuneration package of £265,000. The previous holder of the title, Kent's Peter Gilroy, came fifth place in the list this time, with a meagre income of £245,000 last year.

A spokesman for KCC described the findings as "ambiguous", adding that the authority was consistently assessed as excellent. "To remain as one of the best-performing public agencies in the country we must retain and attract the very best people," he said.

All three political parties have been battling to demonstrate that they are taking the toughest action against council high-earners. Yesterday, the Conservatives announced that all fat-cat salaries of more than £150,000 would have to be signed off by elected councillors if they win the next election. They would also force councils to publish the details of every town hall official earning more than around £60,000.

"Pay and perks for town hall bosses have spiralled out of control," said Caroline Spelman, shadow Communities Secretary. However, the Government has already introduced rules designed to push down the number of embarrassingly high salaries.

John Denham, the Communities Secretary, said the transparency rules would change the behaviour of councils. "The taxpayer – the real pay boss – has a legitimate right to see this information and decide whether or not it is fair," he said.

The Local Government Association argued that the high-earner figures represent just 0.0008 per cent of the total local authority workforce.

Would you rather have...

1.5 prime ministers or one Managing Director Children, Families and Education at Kent County Council (total remuneration package of £305,000). As with another official within Kent County Council, they were unnamed and left the post last year.

23.9 teaching assistants or one Managing Director Environment and Regeneration at Kent County Council (total remuneration package £365,000). Kent County Council refused to name those earning more than £100,000. They left last year.

15 bin men or Derek Myers, Town Clerk and Chief Executive at Kensington and Chelsea (total package of £225,000). No pay rise last year but believed to have the biggest pension pot in local government and annual pension of about £135,000.

16.6 care workers or Joanna Killian, Chief Executive of Essex County Council (total remuneration package £265,000). Killian's salary increased last year by £10,000, giving her the highest remuneration package of any council boss, according to the Taxpayers' Alliance

17.9 electricians or Peter Gilroy, Chief Executive of Kent County Council (total remuneration package £245,000). Had been known as the highest paid man in local government but lost that title as his remuneration package dipped to a lowly £245,000

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