Issue - meetings

12 Month Review of Schedule of Councillors' Allowances to be undertaken by Joint Independent Remuneration Panel

Meeting: 05/12/2023 - Council (Item 75)

75 Review of Councillors' Allowances 2023 pdf icon PDF 104 KB

Additional documents:

Minutes:

The Council considered the report and recommendations of the Council’s Independent Remuneration Panel (IRP) on its recent review of Councillors’ Allowances, together with the separate recommendation of the Executive.  The Council had appointed the IRP for the purpose of reviewing the existing scheme of allowances, including making recommendations on the types of allowance and amounts to be paid.  

The report has also been considered by the Executive, at its meeting on 23 November 2023.  The Executive felt that in view of the Council’s current financial position, it would not be appropriate to consider any increase in councillors’ allowances.  

Upon the motion of the Lead Councillor for Finance and Property, Councillor Richard Lucas, seconded by the Lead Councillor for Regulatory and Democratic Services, Councillor Merel Rehorst-Smith, the Council commended the IRP’s very thorough report and some of the innovative proposals therein, and

RESOLVED:  That the Council:

(1)         defers consideration of the report of the Independent Remuneration Panel on the review of councillors’ allowances for a period of 12 months;

(2)         retains the current scheme of allowances without indexation, which effectively freezes councillors’ allowances at their current level for the 2024-25 financial year; and

(3)         thanks the Independent Remuneration Panel for their work.

Reason:

In view of the Council’s current financial position and the Council’s determination to resolve those difficulties, now was not the right time to be increasing councillors’ allowances.

 


Meeting: 23/11/2023 - Executive (Item 32)

32 Review of Councillors' Allowances: Report of the Independent Remuneration Panel pdf icon PDF 144 KB

Additional documents:

Decision:

Recommendation to full Council (5 December 2023):

That the Council:

(1)     defers consideration of the report of the Independent Remuneration Panel on the review of councillors’ allowances for a period of 12 months;

(2)     retains the current scheme of allowances without indexation, which effectively freezes councillors’ allowances at their current level for the 2024-25 financial year; and

(3)     thanks the Independent Remuneration Panel for their work.

Reason:

In view of the current situation with regard to the Council’s current financial position and the Council’s determination to resolve those difficulties, now was not the right time to be increasing councillors’ allowances.

Minutes:

The Council appointed an Independent Remuneration Panel (IRP) – jointly with Waverley in October 2022 to review the existing scheme of councillors’ allowances and make recommendations for a new scheme.  On 2 November 2023, the IRP concluded its review and the Executive received its report and recommendations which were attached as Appendix 1. 

The Leader highlighted the correction set out in the Supplementary Information Sheet. On page 20 of the agenda, the figure quoted as the Employers’ National Insurance contribution in the table in paragraph 9.1 (Financial Implications) was incorrect.  It should have read “£18,153”. 

The Chairman of the IRP, Dennis Frost, was in attendance along with Panel member Rodney Bates (in remote attendance) to speak to the report. Mr Frost set out his experience of working on other IRPs and the experience of the other panel members. He had been a member of the Guildford IRP which last reviewed the scheme in 2019. Mr Frost thanked officers for their support to the IRP.

During the course of its review, the IRP had received and considered twenty-five completed questionnaires from members and had interviewed fourteen members to arrive at the final recommendations which included a rise in the Public Service Discount (PSD) from 35% to 40% and a 2.5% increase to the Basic Allowance (BA). If adopted, this would be the highest BA of all of the Surrey districts and boroughs. The IRP argued this was justified when taking in account the latest Annual Survey of Hours and Earnings (ASHE) median hourly rate for Guildford and the average number of hours that Guildford members spent undertaking council business. It was noted that the hourly rate for Guildford had risen by over 12% in the past year.

There were recommended changes to some of the Special Responsibility Allowances (SRAs) awarded to councillors undertaking additional roles such as the Leadership, portfolio holders, chairs and vice chairs of the various committees, notably an increase in the Leader’s Allowance to 250% of the BA and a small reduction for portfolio holders. The IRP had taken a particular interest in how the role of the Mayor was supported through the Allowances Scheme and sought to spend more time looking in depth at this role with a view to reporting back in a year’s time. The Panel recommended the Council adopt a scheme where a councillor could only receive one SRA, as this was described as fair and best practice.

 

Mr Frost observed the demographic of the membership had changed since 2019 and consequently there was a different recommendation for the Dependent Carers’ Allowance (DCA) than in 2019. The Panel had recommended a new level which was an alternative lump sum of £500 be made available annually to parents of children under 12 years old and to registered carers rather than the submission of a series of claims and small expenses payments throughout the year. This was described as fair and equitable and less bureaucratic.

The Panel judged its recommendations to the council as an overall  ...  view the full minutes text for item 32