Daily allowance for peers increases to £305 after first rise in eight years

Peers are to receive their first pay rise in eight years, it has been announced.



The House of Lords Commission said they should get the same 1.8% increase handed to MPs, bringing an end to a freeze on daily allowances which has been in place since 2010.

It means Lords will be able to claim up to £305 for a full-day sitting or £153 for a half day from next month, up from the current £300 and £150.

Parliamentary officials insisted the overall cost of running the House of Lords has fallen by 7% in real terms since the start of the decade.

In their report, the Commission said pegging peers’ earnings to the percentage increase granted to MPs each year should be how payments are calculated from now on.

Since 2015, MPs' salaries have been reviewed annually by the Independent Parliamentary Standards Authority, in line with average public-sector earnings, with a rise to £77,000 per year expected from next month.

Excluding travel costs, the daily allowances are the only payment peers receive – covering things like accommodation, staff and general living costs.

The average sitting in the Lords in 2016-17 lasted 6 hours 38 minutes, with the average number of members in attendance per day at 484 across the total number of 141 sitting days.

Were last year’s total of sitting days to be repeated, studious members who sat through each full day would be in line for a £705 increase per year.

A resolution of the House is now needed to implement the recommendations in the Commission’s report.