North Yorkshire councillors to forego allowance increase to help tackle funding crisis

North Yorkshire County Council has confirmed that an independent review of members’ expenses has recommended that there should be no increase in the forthcoming financial year to help alleviate the financial pressures which the authority is facing.

The council is facing a projected cash shortfall of £59m by 2023/24, and is set to use just over £8m of the authority’s own internal funds in the next financial year to help balance its budgets.

The council’s leader, Coun Carl Les, has backed the recommendations of the independent remuneration panel, which annually reviews allowances paid to councillors for their work and any special responsibilities. Members will consider the recommendation at a meeting on Wednesday, February 17.

Coun Les said: “I thank the panel for the work they do and for looking at this issue with independent eyes.

“It is important that the level at which allowances are set are not seen as a barrier that would prevent anyone from standing for a council position, regardless of such things as their age, their personal circumstances and whether they are in work.

“However, I agree with the panel’s view that this is not the right time to recommend any increase in allowances and I will be supporting their recommendation when it is put before the full council.”

The Yorkshire Post reported last month that councillors were told the use of the council’s reserves was not a sustainable model, but the authority was having to dip into its own internal funds to stave off a mounting financial crisis which has been accentuated by the coronavirus pandemic.

An extra £82m has been spent in response to dealing with the effects of Covid-19 in North Yorkshire during the past year.

However, members of the independent remuneration panel said they believe strongly that the county council’s 72 members should be “appropriately compensated” for their contributions and to attract the required calibre of candidate from diverse backgrounds.

The panel has stressed it would like to see further increases in the coming years to ensure allowances reflect the demands made on councillors.

Comparison with similar authorities have revealed that despite increases in allowances in recent years, North Yorkshire is placed 12th out of 16 councils for the level of its basic allowance, and remains eight per cent below the national average.

The basic allowance for a councillor on North Yorkshire County Council in the current financial year is £10,142.