Wales

Welsh councillors awarded 'modest' pay rise

City Hall in Cardiff Image copyright M J Richardson/Geograph
Image caption Cardiff council is raising council tax by 3.7% as it tries to find £25m to balance its books in 2016/17

Councillors in Wales have been awarded a "modest" pay rise.

The Independent Remuneration Panel for Wales has increased their basic salary by £100 to £13,400, the equivalent of approximately 0.75%, from May 2017.

The UK's rate of inflation is 1.6% and the panel said the small increase is because of the "continuing constraints on local government spending".

Councils have warned of budget shortfalls despite an increase in central funding from Welsh Government.

The annual report said the panel had originally decided the basic salary payment would be aligned with the median gross earnings of all full-time employees resident in Wales, as reported in the Annual Survey of Hourly Earnings (ASHE).

It added: "Given the pressures on public expenditure it was not possible for this alignment to be maintained. If this alignment had continued the basic salary would currently be in the region of £14,700."