Will Councillors Get a Controversial 6% Pay Rise?

The recent announcement by the Democracy and Boundary Commission Cymru (DBCC) regarding a 6.4% pay rise for local councillors in Wales has sparked discussions about the appropriateness of such an increase amid budget constraints and rising living costs. Starting from April, the basic salary for councillors will be set at £21,044, despite some councils requesting no increase or a smaller hike. This pay rise is intended to align with the average salary increase across Wales, as reported by the Office for National Statistics (ONS).

Last updated: 10 October 2023 (BST)

What’s happening now

Wales' local councillors are set to receive a significant pay rise of 6.4% starting in April 2024, a decision made by the DBCC. This increase, amounting to a new basic salary of £21,044, has raised eyebrows, especially as some councils, including one that requested no increase, express concerns over budget constraints and the broader economic climate. Shereen Williams, the DBCC chief executive, highlighted the dedication of councillors and their role in managing essential public services. However, the decision has reignited discussions about the appropriateness of linking councillor pay rises to ONS data, particularly when many citizens face rising living costs.

Key takeaways

Local councillors in Wales will receive a 6.4% pay rise starting April 2024.
The new basic salary will be £21,044, aligning with average salary increases in Wales.
Some councils have called for smaller increases or no rise at all, citing budgetary pressures.
DBCC plans to review councillor pay structures further after the 2027 elections.
Concerns have been raised regarding the reliance on ONS data for determining councillor salaries.

Timeline: how we got here

The discussion surrounding councillor pay in Wales has evolved over several years, with notable milestones including:

2022: A 6% pay rise was granted to members of the Senedd, the Welsh Parliament.
2023: MPs in the UK Parliament received a 2.8% pay increase.
October 2023: The DBCC announced a 6.4% pay rise for local councillors, effective April 2024.

What’s new vs what’s known

New today/this week

The DBCC has officially announced the 6.4% pay rise for councillors, stating that it reflects the average pay increase reported by ONS. This decision comes amid varying opinions from councils regarding the appropriateness of the increase.

What was already established

It has been previously noted that councillors in Wales are working an average of 28 hours per week on their roles, often alongside other employment. The DBCC's past decisions have been based on ONS data concerning median salaries in Wales, which has faced scrutiny.

Impact for the UK

Consumers and households

The pay rise for councillors may appear disconnected from the financial pressures faced by households, particularly in light of rising living costs. As council budgets tighten, there are concerns over how public services, such as social services, schools, and waste collection, will be funded moving forward.

Businesses and jobs

Businesses may feel the pinch as council spending and services are impacted by budgetary constraints. The increase in councillor salaries could lead to further discussions on how local government funding is allocated, particularly in relation to community services that support local economies.

Policy and regulation

The DBCC's decision to raise councillor salaries comes at a time when discussions about public sector pay are on the rise across the UK. The commission has signalled its intent to explore alternative methods of determining councillor pay in the future, which may influence broader public sector salary discussions.

Numbers that matter

6.4%: The percentage increase in councillor salaries approved by the DBCC.
£21,044: The new basic salary for councillors starting in April 2024.
1,233: The total number of councillors across Wales.
28 hours: The average time councillors spend on their roles weekly.
4.5%: The forthcoming pay rise for members of the Senedd later this year.

Definitions and jargon buster

DBCC: Democracy and Boundary Commission Cymru, the body responsible for regulating councillor pay in Wales.
ONS: Office for National Statistics, the UK’s largest independent provider of official statistics.
Senedd: The Welsh Parliament, responsible for making laws and scrutinising the Welsh Government.

How to think about the next steps

Near term (0–4 weeks)

Local governments across Wales will need to assess how the pay rise will affect their budgets and services. Councils may need to communicate with the public regarding any changes in service delivery or funding constraints.

Medium term (1–6 months)

A review of councillor pay structures is anticipated to shape decisions moving forward, especially in light of the upcoming 2027 council elections. Stakeholders will likely push for more clarity on how pay is determined.

Signals to watch

Responses from councils regarding budget adjustments and service delivery changes.
Public opinion on the appropriateness of councillor pay amid rising living costs.
Discussions within the DBCC and future proposals for councillor pay changes.

Practical guidance

Do

Stay informed about local council decisions and budgetary changes.
Engage with local representatives about community service needs.
Monitor discussions around public sector pay and its implications.

Don’t

Ignore the impact of local government decisions on community services.
Assume that pay increases will not affect service delivery.
Neglect to provide feedback to local councils about public priorities.

Checklist

Review local council announcements regarding budgetary changes.
Assess how proposed pay increases may impact local services.
Engage with community forums or meetings to voice concerns.
Stay updated on future DBCC consultations regarding councillor pay.
Consider the broader implications of public sector salary decisions.

Risks, caveats, and uncertainties

While the DBCC has established a new pay rate for councillors, there are uncertainties regarding how this increase will be funded without impacting service delivery. Additionally, reliance on ONS data for salary decisions has faced criticism, prompting calls for more transparent and varied methods of determining councillor pay in the future. The economic landscape remains volatile, and any shifts in public sentiment regarding councillor salaries may influence future decisions.

Bottom line

The approved pay rise for councillors reflects a balance of recognising their dedication while acknowledging the financial pressures facing local councils and communities. As discussions around public sector pay evolve, it will be crucial for councillors to engage with their constituents and ensure that service delivery remains a priority amid changing financial landscapes.

FAQs

What is the new salary for local councillors in Wales?

The new basic salary for local councillors in Wales will be £21,044 after a 6.4% increase effective from April 2024.

Why did some councils object to the pay rise?

Some councils expressed concerns regarding budget constraints and requested either no increase or a smaller rise, highlighting the financial pressures faced by local governments.

What does the DBCC plan for future councillor pay determinations?

The DBCC plans to review how councillor pay is determined after the 2027 council elections, considering new methods beyond reliance on ONS data.