§ Sir R. Nugentasked the Chancellor of the Exchequer whether Her Majesty's Government will now make a statement about the salaries of members of the boards of nationalised industries.
§ Mr. Boyd-CarpenterYes. The Government have decided that since there has been no general review of these salaries since July, 1957, there should be a general adjustment to take effect as from 1st April of this year.
192WIn determining the new salaries the Government have had in mind, within the framework of their general incomes policy, the need to provide an adequate salary structure in the industries concerned.
Accordingly the salaries of chairmen in the more important boards will be raised from £10,000 to £12,500, and of deputy chairmen from £8,000 to £10,000: the salaries of chairmen and deputy chairmen of certain other major national boards will be raised from £8,500 to £11,000, and from £7,500 to £9,500, respectively. The salary of full-time members of these boards and of certain other board appointments, including chairmen of area electricity and gas boards, will be individually determined within a band of £7,000–£9,500; those of deputy chairmen of area boards within a band of £5,500 and £6,500; and those of full-time members of area boards within a band of £4,500–45,500.
These increases in salary work out at an average since 1957 of rather less than 3½ per cent. per annum.
After consultation with the Chairmen of the Boards concerned the Government have decided that the present system of fixed salaries for full-time members of major boards, determined by reference to the importance of the board as a whole, is too rigid, and that a more flexible system is required so that salaries can be determined individually, within the bands I have referred to, by reference to the responsibilities and functions of individual members.
Similar adjustments will be made in the salaries of members of other public boards.