Senior civil servants have pay frozen to save £3bn

Published on Wednesday 10 March 2010 21:59

SENIOR civil servants earning more than £58,200 will have their salaries frozen in a move that will save the UK government £3 billion over the next three years.

The freeze will affect the highest paid civil servants in the Scottish Government, including the Permanent Secretary John Elvidge as well as Scottish judges.

The move was announced by Gordon Brown and chimes with Alex Salmond's desire to freeze the salaries of highly-paid public sector workers north of the Border.

Mr Brown said: "These tough decisions complement existing measures to reduce the cost of the civil service and protect frontline services."

In Scotland, the Prime Minister's announcement will affect well-paid officials in the Scottish Government, members of the judiciary, senior Scotland Office officials and senior figures in HM Revenue and Customs, because their pay levels are reserved to Westminster.

In England and Wales, the freeze announced yesterday will also apply to NHS managers, GPs and dentists.

Mr Salmond yesterday confirmed that he would freeze the pay of public-sector workers which come within the remit of the Scottish Government.

Scottish ministers have the power to determine the pay of a host of organisations, including Transport Scotland, the Crown Office, NHS senior management, the Scottish Prison Service, Scottish Water and VisitScotland.

But Mr Brown's belt-tightening exercise was criticised by unions and professional groups.

The FDA union attacked the UK government for rejecting "modest" structural changes to the pay arrangements of senior civil servants, saying the pay freeze was an insult to hard-working staff.

General secretary Jonathan Baume said: "We recognise the grave fiscal crisis facing the country as public expenditure has spiralled out of control.

"However, the SCS comprises dedicated senior public servants whose professionalism will be essential to lifting Britain out of the economic quagmire over the coming years.

"It is simply untenable for the government to continue freezing the pay of senior civil servants as a political device year after year."

Paul Noon, general secretary of the Prospect union, described the freeze as "gesture politics".

He said: "There is a glaring contrast between MPs who have just awarded themselves 1.5 per cent and the harsh treatment meted out to the government's own staff. Prospect members will draw their own conclusions at the fairness of a policy which rewards the politicians while cutting the real pay of their staff."

Mr Brown's announcement came after the publication of a report by the independent Senior Salaries Review Body (SSRB). The report said there was "no justification for general pay increases".

It did propose rises for some NHS managers and civil servants, but they were rejected by UK ministers. A recommendation that the minimum pay for senior civil servants should increase to 61,500 and NHS managers earning less than 80,000 should have a 2.25 per cent rise were rejected.

Civil servants have been on strike for two days this week in a dispute over cuts to their redundancy pay, with more industrial action planned.

Who's who

NAME: Lord Bonomy

JOB: Outer House judge

SALARY: 170,200

NAME: Andrew Goudie

JOB: Alex Salmond's chief economic adviser

SALARY: 135,000-140,000

NAME: Dr Harry Burns

JOB: Chief Medical Officer

SALARY: Civil service pay band 2, between 82,900 and 162,500

NAME: Sir John Elvidge

JOB: Head of the civil service in Scotland

SALARY: 185,000

NAME: Lord Hamilton

JOB: Lord Chief Justice of the Court of Session:

SALARY: 205,700

NAME: Robert Gordon

JOB: Head of legal and parliamentary services, Scottish Government

SALARY: 155,000