Downing Street Says

The PMOS advised journalists that the Senior Salaries Review Body (SSRB) had submitted its recommendations on pay, to which the Prime Minister had published his response this morning. Simultaneous Written Ministerial Statement were also being made today by Geoff Hoon (Armed Forces), David Blunkett (Prison Service) and Paul Murphy (Prison Service, Northern Ireland). The main recommendations, which the Government accepted, were: an increase, from April 1 2004, of 2% to the pay ranges for each of the SCS pay bands; a range of performance related base pay awards from 0 to 9% – a minimum bonus payment of 3% of salary or £2,500, whichever was the higher, for those who qualified; an uplift to the Permanent Secretaries pay ranges resulting in a new range of £121,100 to £256,550; low performance would also be recognised with the bottom 5-10% of performers receiving awards of between 0% and 2% – i.e. a real terms pay cut.

Asked by how much MPs’ salaries would rise, the PMOS said that they would increase by 2%. Asked about Prime Minister’s salary, the PMOS said that it would go up from £175,414 to £178,922. The PMOS took the opportunity to point out that a three-year review into parliamentary salaries was due to report later on in the year. Asked if the Prime Minister would take his entire salary, the PMOS said yes. Questioned about Cabinet Ministers’ pay, the PMOS said that their salaries would rise from £127,791 to £130,347. Asked about the Lord Chancellor, the PMOS said that, as Lord Falconer had already set out, he would receive the pay of a Secretary of State in the House of Lords – i.e. around £98,000. Asked if judges were included in the SSRB recommendations, the PMOS said yes.

In answer to questions about bonuses and performance-related pay, the PMOS said that we expected bonuses to be awarded to just over half of the SCS – about 1,900 out of a total of around 3,700. Asked if Cabinet Ministers could also receive bonuses, the PMOS said no. The scheme only applied to the Senior Civil Service.

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» Thursday, February 12, 2004

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