Hospital Dr News

Board member pay in trusts falls into line

Pay for non-medical senior board directors in the NHS has remained frozen for the second year running, a survey reveals.

Across all English NHS trusts, the median salary increase was zero for chief executives, with their pay remaining at £157,500. Senior directors last saw a salary increase in 2010 when it rose by 4.3%, according to the NHS Boardroom Pay report from Incomes Data Services (IDS).

IDS say NHS remuneration committees are now following the government’s lead in restraining pay levels for public sector officials.

However, the mean average pay of senior board directors had increased by 1.8% between 2010-11 and 2011-12, and 1.7% for chief executives.

Pay levels for doctors and staff on the NHS Agenda for Change framework was frozen from April 2010 to March 2013. They all received a 1% pay rise for 2013/2014, however inflation is currently running at 2.7% (CPI: January 2013).

The Chancellor confirmed in the budget that salary increases of NHS staff will remain at below inflation levels until 2016.

Steve Tatton, editor of the IDS Executive Compensation Review, said: “Although NHS remuneration committees are not subject to the government’s pay policies, the research shows that they have taken their cue from the government’s desire for pay restraints.”

“Salary increases for senior executives are difficult to implement especially as other health employees are experiencing severe pay restraint.”

According to IDS, board level turnover in NHS trusts remained high at 24% for the second year running.

Chief executives are not always the highest paid directors on NHS boards. In acute and specialist trusts, the median total remuneration of medical directors stood at £185,000 – 10% higher than remuneration for the corresponding chief executive role.

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