More than 320 public sector workers earned more than the Prime Minister last year, research published today shows. The report by the Taxpayers' Alliance found that Gordon Brown was only the 324th best paid worker as record levels of pay were reached during the recession.

The pressure group, which campaigns for lower taxes, said its report showed that public sector pay is "completely divorced" from the scale of the country's fiscal crisis.

The Conservatives have promised to crack down on soaring public sector pay if they win the next election. The shadow chancellor, George Osborne, told the Tory conference in October: "Anyone who wishes to pay a public servant more than the prime minister will have to put it before the chancellor."

The study found that 806 people were paid more than £150,000 last year, with eight earning more than £1m.

Mark Fisher, a former executive at Royal Bank of Scotland, was the best-paid worker, earning more £1.338m last year. Adam Crozier, the chief executive of Royal Mail, was the highest paid employee outside the banking sector with a pay package of £1.309m.

The BBC had 53 executives earning more than £150,000 and Transport for London employed more than 50 people on salaries over £150,000.
John O'Connell, Policy Analyst at the Taxpayers' Alliance, said: "Executive pay in the public sector is completely divorced from the reality of

Britain's fiscal crisis. Ordinary families, struggling to make ends meet in the recession, don't pay their taxes to fund gold-plated deals for public sector fat cats. All parties now agree that excessive pay packages must be tackled but the time for action is now, not next year."

The shadow chief secretary to the Treasury, Philip Hammond, said: "Nobody objects to paying public sector executives properly if they are delivering excellent results for the taxpayer.

"But over the last decade, public sector pay has risen while performance has languished. Under a Conservative Government, only those who deliver value for the taxpayer can expect high salaries.

"Conservatives will create more transparency in top public sector pay by publishing the names and salaries of all managers earning over £150,000 online and any new pay package bigger than the Prime Minister's will need the Chancellor's personal approval."

Alistair Darling is expected to announce in the pre-Budget report on Wednesday that thousands of public sector workers should be relocated outside of London where living costs and salaries are lower.

 

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