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Senedd Members’ basic pay could rise by more than £4,300 to £76,380 a year in 2025/26 while the country grapples with a cost-of-living crisis.

The Senedd’s remuneration board announced plans to ditch a 3% cap on salary increases, with members currently paid between £72,057 and £157,624 depending on additional roles.

Under the board’s proposals, politicians in Cardiff Bay will be paid a basic salary of £76,380 from April – an increase of 6% on 2024/25.

First Minister Eluned Morgan, who is less than six months into the role, would receive a near £10,000 pay rise, bringing her pay to £167,081 a year.

Other additional office holders would receive additional payments of £10,336 to £42,963 if, for example, they are part of the Welsh Government or chair a Senedd committee.

‘Golden handshakes’

The board also proposes to increase members’ staffing allowance by £7,836 to £138,438 a year. A combined £1.1m allowance for political parties to employ staff would also rise by 6%.

Other proposals include increasing the maximum amount Senedd Members can claim for overnight accommodation such as hotel stays.

Those who live furthest from Cardiff Bay will be able to claim nearly £13,000 a year towards rent if a proposed 9.8% increase is given the go-ahead.

Members who are voted out by the public, or choose not to stand for re-election, will also receive payments to wind up their offices. The board proposes introducing new payments of two or three months’ salary depending on whether a member stood for re-election.

Senedd Members already receive an often five-figure golden handshake, officially called a “resettlement grant”, when booted out of office by voters.

‘Value for money’

The remuneration board stressed that the 6% increase is linked to the average increase in Wales and in line with pay packets in other UK legislatures.

Elizabeth Haywood, chair of the remuneration board which meets behind closed doors, said the proposed changes reflect changing circumstances and inflationary pressures.

She said: “The board’s review focused on its core objectives and principles to ensure members are remunerated fairly and provided with sufficient resources to support them in their duties, whilst ensuring that decisions are appropriate within the wider financial circumstances of Wales and represent value for money.”

Dr Haywood pointed to statistics showing average pay increases in Wales of 7.3%, 5.7% and 6% in the past three financial years.

Readers can have their say on the proposals by responding to the board’s consultation which closes at 5pm on February 19.