Councillors' remuneration and expenses recommendations: SG response

Introduction

1. The Scottish Local Authorities Remuneration Committee (SLARC) was re-convened by the Scottish Government in April 2023, at the request of COSLA, to undertake an independent review of Councillor remuneration.

2. SLARC was asked to review the remuneration of all Councillors and consider whether the present levels of remuneration, for ordinary and senior Councillors, were appropriate for the current context. In addition, each council is currently placed into one of four bands based on various factors, including the size of the budget. The Committee was also remitted to review whether the current methodology for determining banding of Councils was appropriate and, if so, whether the current bands allocated to Councils remained accurate. Banding was considered to be a key part of the review as it determines the level of pay for senior posts and the maximum number of senior posts within each Council. The Committee was also asked to assist the Scottish Government to review and amend the Councillors’ Remuneration: Remuneration, Allowances and Expenses – Guidance.

3. SLARC’s report was published in February 2024 and contained 22 recommendations for Scottish Government, COSLA and other bodies to consider and take forward.

4. This response covers those recommendations where Scottish Government action is required either individually or jointly with COSLA.

5. The Scottish Government is content to accept the pay and banding related changes recommended by SLARC and will introduce regulations early in 2025 to put these into effect from 1 April 2025. Local authorities are responsible for paying Councillor salaries and associated expenses from their annual budgets provided through the Local Government Settlement. The Scottish Government does not provide funding specifically to meet the costs of Councillor salaries. The Scottish Government is content to accept the recommendations on pay and banding changes and to make any required regulations to bring the recommendations into effect. However, it is for local government to fund any costs, including increased salaries, resulting from accepting the recommendations.