1. INTRODUCTION AND TERMS OF REFERENCE

1.1.1 The Local Authorities (Members’ Allowances) (England) Regulations 2003 (“the 2003 Regulations”), as amended, require all local authorities to appoint an independent remuneration panel (IRP) to advise on the terms and conditions of their scheme of councillors’ allowances.

1.1.2 The Councils formally appointed the following persons to undertake this process and make recommendations on its future scheme.

John Bradon – Local resident

David Rushton- Local resident

Mr Mark Palmer – Development Director, South East Employers (Chair)

1.1.3 Our terms of reference were in accordance with the requirements of the 2003 Regulations, together with “Guidance on Consolidated Regulations for Local Authority Allowances” issued jointly by the former Office of the Deputy Prime Minister and the Inland Revenue (July 2003). The terms of reference were as follows:

- To ask the Independent Remuneration Panel to consider an appropriate level of remuneration for the role of independent person to the councils’ Joint Audit and Governance Committee. Although it is not yet mandatory for the councils to have an independent person on their joint audit committee, this is likely to be a requirement in the near future. The panel to recommend a suitable level of renumeration for such a role. The Panel to review the Monitoring Officer’s report to both councils setting out the background to the role and the personal specification for the independent person role on the Joint Audit and Governance Committee.

- To ask the Independent Remuneration Panel to consider an appropriate level of remuneration for the six independent persons dealing with code of conduct matters, if the panel consider that the roles should be remunerated. The Panel referenced the Monitoring Officer’s report and the recruitment pack for the code of conduct independent persons.

2. CONSIDERATIONS AND RECOMMENDATIONS

2.1 Independent Person to the Councils Joint Audit and Governance Committee

2.1.1 The Panel considered the Monitoring Officers Report to both Councils that set out the background to the role; this also included a Persons Specification. The Panel also reviewed comparative data from the limited number of Councils that had appointed to the role. The comparative data is set out below:

Council	Amount per annum	Link
Peterborough	£1500	Independent Members of Audit Committee - Peterborough City Council - Peterborough Council – Jobs and Careers
Hertfordshire	£1000	Independent Member of the Audit Committee \| \| November 2021 (jobsgopublic.com)
Southend	£1084	SOUTHEND ON SEA BOROUGH COUNCIL
Sevenoaks & Dartford	£1600 (two Councils)	Independent Member - Audit Committee \| March 2022 (jobsgopublic.com)
Sunderland	£3139	https://www.northeastjobs.org.uk/Get.aspx?id=11334315

2.1.2 The Panel was of the view that the allowance should be based on that of the Chair of

the Joint Audit and Governance Committee. The allowance from 1^st April 2023 is

£3,535. The Panel was of the view that the Independent Person to the Councils Joint

Audit and Governance Committee should receive an allowance of 50% of the Chair of

the Committee.

WE RECOMMEND that the Independent Person to the Councils Joint Audit and

Governance Committee receive an allowance of 50% of the Chair of the

Committee: £1,768 from 1^st April 2023.

2.2 Independent Persons Allowance

2.2.1 The Panel considered the Monitoring Officers Report and the Recruitment Pack for the

Six Independent Persons dealing with Code of Conduct issues. The Panel also analysed the comparative data with regards the allowances for Independent Persons as set out in the South East Employers Members Allowance Survey October 2022. Finally, the Panel took note of the advice of the Monitoring Officer that each Independent Person spent around two days per annum assisting the Monitoring Officer.

2.2.2 The Panel recommends that the six Independent Persons dealing with Code of

Conduct issues should each receive an allowance based on 33% of the Independent

Person to the Councils Joint Audit and Governance Committee (£1,768 from 1^st April

2023). This equates to £583 per annum.

WE RECOMMEND that the six Independent Persons dealing with Code of

Conduct Issues each receive an annual allowance of £583. This allowance is

based on 33% of the recommended allowance of the Independent Person to the

Councils Joint Audit and Governance Committee from 1^st April 2023.

Mark Palmer (Chair of the Independent Remuneration Panel)

Development Director

March 2023

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