Radical overhaul of expenses at Westminster City Hall - Councillors to lose £1,250 of basic allowances

Published: 19 February 2010
By JAMIE WELHAM

THE payments received by councillors are to be reduced along with allowances at City Hall under a radical overhaul of council expenses.

It is proposed that rank and file councillors’ yearly allowance is reduced from £10,250 to £9,000 – down 12 per cent.

Council leader Colin Barrow, and cabinet members are also in line for cuts to their more generous packages in April if they are approved at a full council meeting next month.

An internal report recommends the overhaul in order to fund increases in special responsibility allowances (SRAs) to reward the heavier workload that some of the roles involve.

While Cllr Barrow’s payments would be cut from £42,000 to £35,000, those sitting on licensing and planning committees will receive a rise in the region of £1,000 as well as previously unpaid positions such as health, housing and ben­efit committees getting rewards.

The proposals have received a mixed reaction in City Hall. 

Paul Dimoldenberg, leader of the Labour group, agrees with slashing allowances but said he had reservations about the hike in SRA payments.

He said: “I think reducing the basic rate is right is right in the current climate. But I think it would have been better not to have any increases at all for anybody.

“I’m sure there is a heavy workload involved with certain committees, but everyone working at the moment is facing a heavier workload and they are not getting increases in their salaries.”

City Hall’s accounts show that expenses have risen dramatically, almost doubling from 2006.

Westminster’s cabinet member for finance Councillor Melvyn Caplan said: “This year, in order to recognise the heavy workloads and time commitment made by councillors with daytime duties, a proposal has been made to redistribute some of the allowances to reflect this. 

“This proposed redistribution which I reiterate will not affect the total spent on councillors’ allowances – will be met by a reduction of the allowances of the leader, deputy leader and other members.

“Equally we are proposing to reduce basic allowances for all councillors by £1,250 from £10,250 to £9,000. 

A final decision is due to be made by the full council on March 3.