An MEP's job is set to become even more lucrative for Maltese during the next European Parliament legislature as their annual salaries rise by a whopping 540 per cent to €84,000.

The government has just agreed to implement the new MEP statute from the beginning of the next European legislature next year, according to a spokesman for the Office of the Prime Minister.

This will translate into an increase for the five Maltese MEPs of €68,460 a year.

MEPs are currently paid the same rate as MPs in their own countries resulting in stark differences between different nationalities. For example, while Italian MEPs are being paid €11,000 a month, Maltese MEPs earn €1,295 a month, the same as Maltese MPs. Lithuanian MEPs are much worse-off receiving a salary of just €800 a month.

However, under the new statute, first approved by MEPs and member states in 2005, from June all MEPs should have the same salary capped at €7,000 a month.

At the same time, the new statute introduces stricter controls on how MEPs should use and account for their lucrative allowances, which are currently worth some €300,000 per year. These changes were made in response to several sleaze allegations involving MEPs.

Member states still had the option to stick to the current regime and postpone these changes until 2019. However, the Maltese government decided to implement the new statute from June.

Although the government's decision will result in a massive increase in the take-home pay of Maltese MEPs, this decision will effectively result in savings to Maltese taxpayers.

Currently the salaries of the five Maltese MEPs are paid out of the Maltese exchequer's funds (€77,700 annually). However, under the new system, MEPs' salaries (€420,000 annually) will now be paid out of the internal funds of the European Parliament.

The government's decision was, predictably, welcomed by both Nationalist and Labour MEPs.

MEP Simon Busuttil said: "Today, the situation is very unequal with Maltese MEPs earning one tenth of the salary earned by Italian MEPs for doing the same job."

Labour MEP Louis Grech said: "I agree with the government's decision since the new MEP statute would lead to a clear, rational and streamlined structure especially when compared (with) the existing procedure."

At the same time, both sides agree that the new statute will bring new obligations particularly needed to fight the perception of sleaze surrounding MEP allowances. In fact, both the Nationalist and Labour MEPs pledged that they will be pushing their own parties to introduce a new code of conduct for those elected in June.

As MEPs come under increasing media scrutiny, many European parties are feeling the need to introduce stricter rules for their elected European representatives. A case in point is the British Conservative Party, which started implementing its new code this month.

The EP elections will be held on June 6.