Wearside’s three female MPs will enjoy a 10% pay rise – despite the rest of the public sector pay increases being capped at one per cent for another four years.
The Independent Parliamentary Standards Authority (IPSA) yesterday said the issue of politicians’ salaries could no longer be “ducked” and it is pushing ahead with the increase from £67,060 to £74,000.
We have made the necessary break with the past.
However, the watchdog has climbed down on plans to link their pay to UK-wide average earnings in future – a move that could have left MPs £23,000 better off by 2020.
MPs, including Sunderland’s Sharon Hodgson, Bridget Phillipson and Julie Elliott will be restricted to average rises in the public sector.
ISPA’S chairman Sir Ian Kennedy defended the salary increase.
“We have made the necessary break with the past,” he said.
“We have created a new and transparent scheme of business costs and expenses, introduced a less generous pension scheme, where taxpayers contribute less and MPs make a higher contribution, and scrapped large resettlement payments.”
Prime Minister David Cameron previously branded the substantial boost “unacceptable” at a time of austerity.
But last month Downing Street indicated that Mr Cameron will not seek to block the move – and he will personally accept the money.
Politicians elected before 2015 will also see a major boost to their pensions as they are based on final salary.
The proposals have caused bitter divisions among MPs, with some decrying the award and others arguing they have been underpaid for decades.
In its report, ISPA said the additional four years of one per cent public sector pay restrictions unveiled by Chancellor George Osborne in the Summer Budget, represented “compelling evidence.”
It said MPs’ salaries would now go up every April in line with average weekly public sector earnings, rather than those for the whole workforce.