MPs' Pay and Pensions
IPSA is responsible for setting and administering MPs’ pay and pensions. We are independent of Parliament and Government.
The annual basic salary for all MPs is currently £74,962 (as of 1 April 2016).
Details of the annual basic salary paid to all MPs for previous years can be found in the table below.
In future years during this Parliament, annual changes in MPs’ pay will be linked to changes in average earnings in the public sector using Office for National Statistics (ONS) figures.
MPs with additional responsibilities (such as Government Ministers, or the Speaker of the House of Commons) may receive supplementary entitlements as a result of those roles. These additional entitlements are usually administered by other bodies. Further information on these can be found on Parliament's website via this link.
IPSA's Review of MPs' Pay and Pensions
In December 2013, following two public consultations, we proposed a modern, professional package for MPs’ remuneration.
There were six main elements to our proposal:
- 1. to make a one-off adjustment to MPs' pay from £67,060 to £74,000 a year, to reflect that it had fallen behind;
- 2. thereafter, to link changes in MPs' pay to their constituents' pay across the country;
- 3. to reduce MPs' generous pension benefits;
- 4. to scrap resettlement payments for MPs which had been worth up to a year's salary;
- 5. to tighten MPs' expenses further; and
6. to call on MPs to produce an annual account to help constituents to understand their work.
As a whole, this package of reform would not cost the taxpayer a penny more. It would bring MPs’ pensions into line with others in the public sector, it would get rid of generous and out-of-date benefits and, after a one-off pay adjustment, it would permanently link MPs’ pay to the pay of the people they represent.
We have now implemented all elements of the package. Following a final consultation in the new Parliament, as required by statute, we announced on 16 July 2015 our final decision on MPs’ pay in the 2015 Parliament. All MPs will now be paid an annual salary of £74,000, backdated to 8 May 2015. Annual changes in MPs’ pay during this Parliament will be linked to changes in average earnings in the public sector, rather than to those in the economy as a whole as previously proposed. We will review MPs’ pay again in the first year of the next Parliament, as required by statute.