Southwark Council has formally agreed its Pay Policy Statement for the 2026/27 financial year, detailing the council's approach to senior officer remuneration.
The statement, approved by the Council Assembly on Wednesday, March 18, 2026, confirms that the pay scales reflect national pay negotiations for 2025/26. Discussions for 2026/27 are ongoing, meaning the projected impact on senior officer remuneration for this period is not yet determined.
The policy details the pay of chief officers and deputy chief officers, confirming that bonuses are not paid to senior officers. The statement also outlines the council's commitment to paying all employees at least the London Living Wage.
Senior Officer Pay Scales and Lowest Paid Employees
The Pay Policy Statement for 2026/27 outlines the following pay scales for chief officers and deputy chief officers, determined by the Korn Ferry Hay job evaluation method:
- Grade 14: Pt. 2 (£59,526) to Pt. 9 (£74,040)
- Grade 15: Pt. 7 (£69,537) to Pt. 14 (£86,766)
- Grade 16: Pt. 12a (£86,652) to Pt. 19 (£108,462)
- Grade 17: Pt. 17 (£101,688) to Pt. 24 (£127,605)
- Grade 18: Pt. 22 (£119,553) to Pt. 29 (£150,333)
- Grade 19: Pt. 28 (£145,449) to Pt. 33 (£176,943)
- Grade 20: Pt. 31 (£165,612) to Pt. 38 (£208,920)
- Grade 21: Pt. 38 (£208,920) to Pt. 42 (£237,141)
Pay ratios are published annually, comparing the chief executive's salary to the lowest-paid employees and the average pay of all council employees. For the 2025/26 financial year, the chief executive's pay was £237,141. The lowest-paid employees, on grade 1, point 2, receive an annual salary of £29,808, resulting in a pay ratio of 8.0 to the chief executive. The median salary for all council employees was £46,854, giving a ratio of 5.1 to the chief executive's pay.
Pension Arrangements and Retirement Policies
The statement also addresses pension arrangements. Chief officers and deputy chief officers, along with all council employees, are auto-enrolled into the Local Government Pension Scheme (LGPS) if they meet the criteria of being aged between 22 and State Pension age, and have a contract for at least three months. Employee contributions vary based on salary, and the council's contributions ensure the scheme's benefits are funded. Employees have the option to make additional voluntary contributions (AVCs) or join the 50/50 section for reduced benefits and contributions. The council's Statement of Employing Authority Discretions Policy
further details how discretionary powers related to the LGPS are applied.
Arrangements for redundancy, flexible retirement, and early retirement are also outlined for all employees, including senior officers:
- Redundancy: Payments are calculated based on age and years of completed service, ranging from one week's pay to a maximum of thirty weeks' pay. Re-employment by the council within one year of redundancy generally requires exceptional approval.
- Flexible retirement: Employees aged 55 or over can apply to receive their pension while continuing employment, potentially with reduced hours or a lower-graded post.
- Early retirement (ill health and efficiency): Employees may be considered for early retirement on grounds of ill health, supported by an occupational health assessment, or in the interests of efficiency.
- Special severance payments: These may be made in specific circumstances, such as settling potential legal claims, requiring justification and authorisation from the monitoring officer and chief finance officer.
The full Pay Policy Statement can be accessed here. The Council Assembly meeting details can be found in the agenda frontsheet.
