REPORT OF THE INDEPENDENT PANEL ON

NORTH YORKSHIRE COUNCIL

COUNCIL

12 November 2025

Report and recommendations of the Independent Remuneration Panel for Member Allowances for 2026-27

Report of the Assistant Chief Executive Legal and Democratic Services

1.0

PURPOSE OF REPORT

1.1

To enable Council to consider the report and recommendations of the Independent Remuneration Panel for Member Allowances.

2.0 BACKGROUND

2.1 The report of the Independent Remuneration Panel (IRP) for Member Allowances is attached at Appendix 1 for consideration by Full Council.

2.2 The report makes recommendations for the Basic Allowance and the Special Responsibility Allowances (SRAs) for councillors in 2026-27.

2.3 The report and recommendations of the IRP were considered by the Executive at their meeting of 21 October 2025. They resolved to recommend the report to Council for consideration and that it be accepted subject to any questions that members may have.

2.4 In considering the report of the IRP, the Executive made an additional recommendation to Council as follows:

That the Independent Remuneration Panel be asked to consider, when next convening in June 2026, that from 2027-28 any future increases in the allowances be aligned to inflation indices or the pay award for officers of the Council, with an in-depth review of the member allowances scheme undertaken every four years.

2.5 The link to the papers for the meeting of the Executive on 21 October 2025 is here (item 10) - Agenda for Executive on Tuesday, 21 October 2025, 11.00 am | North Yorkshire Council

2.6 The link to the recording of the meeting of the Executive on 21 October 2025 is here - Live meetings | North Yorkshire Council

3.0 PANEL RECOMMENDATIONS

3.1 In formulating its proposal, the Panel considered the following factors:

a) Councillors are not remunerated as employees; they are elected to fulfil important roles on behalf of the public. Nevertheless, the proposed Basic Allowance reflects the considerable time commitment required for the proper and conscientious fulfilment of duties.

b) The reconfiguration of local government in North Yorkshire and the effect that the overall reduction in Councillors, from 319 to 90, has had on the workload of those elected to the new North Yorkshire Council.

c) The need to attract and retain high-quality candidates from a variety of backgrounds; the Panel considered that the Basic Allowance should not be a financial disincentive to those who might otherwise wish to serve as an elected Member.

d) The general economic climate, including inflation rates.

e) The level of the Basic Allowance paid by comparable local authorities.

f) Budgetary constraints on North Yorkshire Council.

3.2 The Panel reviewed comparator data from other, similar local authorities regarding the basic and special responsibility allowances. The Panel repeated previous years’ invitations to all councillors to make representations.

3.3 The Independent Remuneration Panel has proposed:

· The Basic Allowance paid to each councillor should increase by 3.6% (June 2025 CPI) from the existing £17,340 to £17,964 for 2026/27.

· The Special Responsibility Allowances (SRAs) paid to those councillors who take on additional duties and responsibilities should increase by 3.6% (June 2025 CPI) for 2026/27.

· The SRA paid to the Chair and members of the Licensing Sub-Committees should be amended so that the maximum amount paid for sessional payments is increased from £750 per person per annum to £1,000.

· The eligibility threshold for payments to leaders and secretaries of the third largest group be increased from 7 to 9 (in line with the 10% threshold).

· The mileage rates paid to councillors continue to be aligned with the rates paid to officers.

· The subsistence rates paid to councillors be amended so that they are aligned with those paid to officers.

3.4 The current and proposed Special Responsibility Allowances are listed in detail in the appendices to the attached report at Appendix 1.

4.0 CONSULTATION AND COMMUNICATION

4.1 In line with the Members’ Allowances Regulations and previous practice, a notice publicising the report of the Panel was placed in the Yorkshire Post on 13 October 2025 and also on the Council’s website – Councillor allowances | North Yorkshire Council A copy of the report has been made available for public inspection at County Hall.

5.0 FINANCIAL IMPLICATIONS

5.1 The current Basic Allowance of £17,340 costs £1,560,600 a year. The proposed 3.6% increase in the Basic Allowance will increase it to £17,964.24. This will cost £1,616,781.60 a year. This then is an additional cost of £56,181.60 a year.

5.2 Attached as Appendix D is a spreadsheet showing the recommendations for all SRAs and the cost to the Council. The current SRAs paid cost £462,400 a year. The proposed 3.6% increase in the SRAs will increase the total cost to £479,046.40 a year. This then is an additional cost of £16,646.40 a year

5.3 If recommendations of the Panel are accepted, the overall increase in cost for 2026-27 would be £72,828.

5.4 The financial implications are also detailed in the report of the Independent Remuneration Panel for Member Allowances, at Appendix 1.

6.0 LEGAL IMPLICATIONS

6.1 The legal implications are detailed in the report of the Independent Remuneration Panel for Member Allowances, at Appendix 1.

7.0 CLIMATE CHANGE IMPLICATIONS

7.1 There are no specific climate change implications arising out of the report of the Independent Remuneration Panel for Member Allowances, at Appendix 1.

8.0 EQUALITIES IMPLICATIONS

8.1 The equalities implications are detailed in the report of the Independent Remuneration Panel for Member Allowances. When setting the allowances, consideration is given as to how the allowances enable the Council to attract high quality candidates to stand as councillors, from a wide variety of backgrounds, whilst also ensuring that financial barriers to anyone who wishes to stand for election are minimised. A copy of the initial equality impact assessment screening form is attached at Appendix 2.

9.0

RECOMMENDATIONS

9.1

9.2

That Council considers the report and recommendations of the Independent Remuneration Panel for Member Allowances and that it be accepted subject to any questions that members may have.

Barry Khan

Assistant Chief Executive Legal & Democratic Services

Cover report prepared by:

Daniel Harry, Head of Democratic Services and Scrutiny

daniel.harry@northyorks.gov.uk

Main report prepared by:

The Independent Remuneration Panel for Member Allowances

Background papers: North Yorkshire Council Constitution - (Public Pack)Agenda Document for Constitution, 28/03/2025 00:00

County Hall

Northallerton

4 November 2025