MLA pay: Parties agree to give away £1,000 rise

Assembly members can expect to see the extra money in their first pay packet since Stormont returned

The Stormont parties have agreed a process to give a £1,000 rise in their salaries to public funds or charity.

The Assembly Commission met on Thursday following a request by party leaders for the annual increase to be halted.

The SDLP's chief whip, Colin McGrath, said legally the rise could not be stopped.

But he said the parties had "set in stone" a scheme that would ensure assembly members could give the money back.

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"The options are to give it to a consolidated fund - back into the public purse, or a give-as-you-earn scheme, that would allow the full amount to go to charitable sources," he said.

Mr McGrath added the MLAs could also opt to receive the money and donate it to charity, but that would be subject to tax.

The pay is due to rise from £49,500 to £50,500, but the party leaders asked the Assembly Commission to halt this until the decision is reviewed.

After meeting party representatives on Thursday, assembly speaker Alex Maskey said: "I am encouraged by the constructive co-operation which the parties have shown to deal resolutely with this difficult issue."

In a joint statement, representatives from the five parties said they "recognised the understandable public concern in relation to the payment of inflationary increases to MLA salaries and used the opportunity to clarify a number of points in relation to the legal position.

"No MLA or party sought or has supported an increase in MLA salaries and the inflationary increases arise automatically from the 2016 Determination by the Independent Financial Review Panel."

They added: "We would appreciate the cooperation of Assembly Commission staff to assist MLAs to put their individual arrangements in place if required as soon as possible to enable the return of the inflationary increases to salary."

The assembly sat for the first time in three years on 11 January

The current rules on assembly members' salaries and expenses were set by the Independent Financial Review Panel (IFRP) in 2016.

That determination provides MLAs with a £500 annual increase to their salaries, but pay rises were blocked while devolution was suspended after a request from the Assembly Commission to the then secretary of state Karen Bradley.

With devolution restored, MLAs are due to automatically receive a £1,000 uplift for the two years they did not get the additional money while Stormont was not running.

The panel's members terms later expired and were not renewed following the collapse of devolved government in 2017, but the IFRP's determination from 2016 still applies.

BBC News NI understands a review is under way to decide what should happen with the IFRP. It is due to end next week.

Mr McGrath said the commission would be taking action to "ensure situations like this don't happen again".

MLAs are also due to receive another £500 lift in April.

However, Mr McGrath added that if a new panel or system was not in place by the end of the current mandate - 2022 - then all additional increases MLAs will go into the payback scheme.