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Angus councillors vote to extend staff benefits scheme to themselves

There were concerns over how adopting salary sacrifice benefit schemes such as Cycle to Work would look as Angus councillors are set to receive a pay rise in the order of 20%.

Cycle to Work is one of the benefit schemes Angus councillors will be able to join. Image: Shutterstock
Cycle to Work is one of the benefit schemes Angus councillors will be able to join. Image: Shutterstock

Angus councillors have voted to extend staff salary sacrifice benefits to themselves.

It will give the area’s 28 elected members access to schemes such as Cycle to Work and car leasing.

Council deputy leader George Meechan put the proposal forward at a meeting of the full council on Thursday.

He said it was a move which could also save the authority money in National Insurance contributions.

But the move prompted a split after another member branded it “foolhardy” on an agenda which included a 20% pay rise for councillors.

Such schemes allow employees to reduce their taxable income by using a portion of their salary in exchange for a range of benefits.

Benefits plan a ‘no brainer’

Kirriemuir and Dean councillor Mr Meechan presented his motion from the opposition benches after a surprise departure from the ruling SNP administration.

Mystery surrounds his status in the £37,500-a-year role.

He said: “Extending certain employee benefits would align with the principles of fairness and equality.

“For clarity, this proposal is cost-neutral to Angus Council.

Kirriemuir councillor George Meechan.
Kirriemuir and Dean councillor George Meechan. Image: Angus Council

“It could, in fact, mean a saving to the council in terms of employer’s National Insurance contributions,” he said.

Last month, there was a warning over a possible £5 million “hammer blow” to council finances as a result of changes to National Insurance rules.

Fellow Kirriemuir councillor Ronnie Proctor said: “I think this is a no brainer.”

Arbroath member Serena Cowdy added: “Will it cost the council? No.

“Will it save the council money? Yes. To me it’s a win-win.

“I have so many constituents that would be absolutely amazing councillors, but perhaps there are barriers financially and otherwise.

“If we can make changes like this, it enables a huge amount of people to become councillors in the future who may otherwise feel they do not have the opportunity.”

Opponents brand benefits scheme plan ‘inappropriate’

But Carnoustie Independent David Cheape moved against the plan.

“Quite simply, I don’t think the terms of this motion are appropriate at this time,” he said.

“Given the proposed increase in councillor remuneration… and with the recent increase in council tax, any further benefits received by councillors would be perceived negatively by the electorate.

Councillor Brian Boyd said: “I think it’s foolhardy for us to be voting for these benefits when, I don’t want to mention the percentage increase we’re getting, but that’s the reason why.

“The decider for me was hearing only a third of councils do it.

“If others are not doing it, why should we at this time,” he said.

Councillors voted 17-9 in favour of the motion to extend the staff benefit scheme to elected members.

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