MEPs, including the five Maltese, will see their salary increase by €35 a week next year, boosting their total pre-tax income to €1,767 a week, according to amendments to their statute approved by the European Parliament.
Apart from this increase, which according to the European Parliament is justified due to rising inflation costs, MEPs will also see their subsistence and general expenses allowances rise by a further two per cent to total a non-taxable allowance of €107,524 annually.
The rise in MEPs salaries and allowances comes just a week after the controversial revelation that Maltese MPs will be getting an increase of almost 30 per cent in their income, boosting their weekly pre-tax part-time honoraria to €514 from €367.
Although the increase in MEPs’ salaries is much lower, as it amounts to 1.8 per cent of their salaries, in 2011 the five Maltese MEPs will still be earning three times more than their counterparts sitting in the Maltese Parliament.
This apart from almost €300,000 each in subsistence, travel and staffhiring allowances, which Maltese MPs are not entitled to.
The EP also decided that the latest increase in MEP salaries will be backdated to July 2009, the month in which the new five-year legislature started. So each MEP will this year be receiving a lump sum of about €6,300 as arrears directly into their bank account.
This has been dubbed by Eurosceptics as this year’s “Christmas present”.
Though many, including some MEPs, have criticised this latest increase arguing they already enjoyed very lucrative financial packages, the EP defended its decision insisting members had to be compensated for rising costs.
Diana Wallis, one of 14 EP vice-presidents, said the raise was “justified” even if it might not be popular as it was coming at a difficult time for many.
“I do feel slightly uncomfortable but, even so, you have to understand this is based on a longstanding formula. Costs for a lot of things have gone up and you have to bear this in mind,” she said.
On the other hand, Marta Andreasen, a member of the Eurosceptic British UKIP party, branded the latest increase in allowances “an absolute disgrace”.
It is estimated that an MEP costs European taxpayers an average of €400,000 annually.
Among the five Maltese MEPs, Labour’s John Attard Montalto was the most expensive in the first year of this legislature (July 2009- July 2010) declaring a total bill of €439,000, including his salary.