A total of 14 council employees now earn more than Prime Minister Gordon Brown, and the TaxPayers' Alliance, which carried out the research, angrily condemned pay increases for senior executives.

Hull City Council chief executive Kim Ryley – whose annual salary is £187,890 and defended as good value by the authority – is on the list at number two, although his quoted remuneration of £213,162 includes bonus, expenses and other extras.

Today's report – which town halls said should be taken with an "immense dollop of salt" – comes the day after Ministers confirmed final council tax increases for 2008-09, which will see the average bill rise by £45.

The Tories said the increases would hit households hard on top of soaring food, energy and fuel prices, while Ministers tried to minimise the damage by insisting the increases were the lowest in 14 years. They have threatened seven police forces and one council with having increases above five per cent capped.

Today the Yorkshire Post also publishes a snapshot of salaries for figures in the public and private sector and the responsibilities they have.

In its second annual Town Hall Rich List, the TaxPayers' Alliance claims 818 local authority employees now earn over £100,000 a year, up from 645 last year.

Of those councils which responded to Freedom of Information requests, six staff are said to pocket more than £200,000 a year, 88 earn more than £150,000 and 14 pocket more than Prime Minister Gordon Brown, who earns £188,849.

The alliance also discovered that top earners received an annual pay rise of 4.6 per cent, while other public workers are forced to accept rises of less than 2.5 per cent.

The chief executive of the TaxPayers' Alliance, Matthew Elliott, said: "Families and pensioners are struggling with the demands of yet another council tax rise, and councils owe it to them to cut back on executive pay hikes."

The alliance lists Mr Ryley at number two in the league of top earners, behind the £215,000 of Northamptonshire's Philip Gould, who has now retired. His figures of £213,162 include mileage of £1,557, subsistence of £2,466, election fee of £4,450, arrears for a pay award of £10,888 and performance- related pay of £9,000.

Hull City Council disputes that Mr Ryley is the second highest paid town hall employee, and a spokesman said his salary of £187,890 was not unusually high and was "real value for money". The council had saved £25m this year and had improved its rating from zero stars to two stars in official assessments since he arrived.

The spokesman said: "The chief executive is responsible for a £1bn gross annual budget, for nearly 14,000 staff, and for the council providing a wide range of services to over 250,000 residents.

"An equivalent private sector organisation would be a listed FTSE100 company, and an equivalent senior manager in the private sector, with the experience and knowledge required for this role would expect to earn at least three or four times the salary of the council's chief executive."

Deputy chief executive of the Local Government Association John Ransford said some parts of the report were inaccurate and accused the TaxPayers' Alliance of launching personal attacks on individuals who did not set their own salaries.

More coverage, next page. . .