MPs set for 1.4% pay rise - higher than cap for public sector workers

MPs are set for a 1.4% pay rise - well above the 1% cap imposed on public sector workers.

The rise from £74,962 to £76,011, due to take effect in April 2017, follows another cap-busting increase of 1.3% earlier this year.

And it comes two years after a massive 10% hike from £67,000 to £74,000 in 2015, recommended by the Independent Parliamentary Standards Authority (Ipsa).

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The announcement is likely to anger public sector workers like nurses, police and teachers, whose rises have been limited to a maximum 1% for four years, following earlier freezes.

Under a system designed to take the issue out of political control, MPs’ salaries rise in line with the Office for National Statistics’ calculation of average overall increases in the public sector. The increase is automatic and not subject to approval in Parliament.

Ipsa confirmed that the ONS had issued a preliminary estimate of this year’s figure of 1.4%. However, this may change when the statistic is finalised nearer the date of the pay-rise.

The figure is higher than the 1% cap because it is calculated on the basis of all payments on public sector payslips, including items like bonuses and promotion-related rises.

Ministerial salaries, which are controlled by Government, have been frozen to 2020.