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Daniel Holland

New chief executive at troubled Northumberland County Council set to pocket £199,000 salary

Northumberland’s new council boss is set to take home a salary just short of £200,000, it has been revealed.

It was announced last week that Helen Paterson has been recommended to take over as the new chief executive of troubled Northumberland County Council, following the long and bitter dispute that led to former boss Daljit Lally leaving this summer. A report now confirms that Dr Paterson will be offered a £199,000 annual pay packet – plus an extra £12,145 for every election held in which she acts as the council’s returning officer.

One councillor described the number as “eye-wateringly high”, coming at a time when the council is facing major budget issues and has offered all staff voluntary redundancy, though the authority defended it as comparable with other large, rural councils.

Read More: New permanent chief executive set to be appointed at Northumberland County Council

It emerged earlier this year that the Northumberland County Council was paying 20 top-earning employees more than £100,000 a year – more than any other authority in the North East. Those figures prompted Tory council leader Glen Sanderson to announce that he was seeking to “make a saving of at least £1m” from staff wages – claiming in April that the county had previously had to offer higher pay because of its remoteness but was now “not as isolated as it was”.

Meanwhile, all county hall staff were recently offered the chance to apply for voluntary redundancy, under measures to combat a predicted £12m budget overspend as local authorities across the country grapple with the devastating impact of the current economic crisis.

Northumberland County Council Headquarters at County Hall, Morpeth (Newcastle Chronicle)

Dr Paterson is due to be appointed to her new role subject to approval at a full council meeting next Wednesday, November 2, with her appointment and salary also due to be discussed at the authority’s staff and appointments committee that morning. She is currently in charge of Walsall Council and was previously director of children’s services in Sunderland.

Her proposed salary would be the second highest of the North East’s council chief executives, behind only County Durham. Georgina Hill, an independent councillor for Berwick East said the £199,000 rate was “an eye-wateringly high salary from an administration who have recently been posturing as friends of the taxpayer”.

She added: “Some would say that if the new chief executive manages to turn the council around then it would be cheap at the price. However, neither myself nor anyone else from the Independent Group were involved in the interview or selection process so it is currently difficult to do any value for money or other meaningful assessments of the merits of the appointment or the justification for such a large salary.”

The county council said that Dr Paterson’s proposed pay was “unanimously agreed by a cross party group of councillors and was made in an open and transparent way”, and that it had been set based on market conditions, the scope of the job’s responsibilities, and advice from independent experts. A spokesperson added that it was “comparable with the current market rate for a large, rural county council” – and was lower than the likes of Lancashire (£222k), Kent (£207k), and Hampshire (£231k).

The council said: “Northumberland County Council is one of the largest in the country, responsible for a revenue and capital budget in excess of £1bn, employing thousands of people and providing hundreds of services. It is of vital importance that we are able to attract the right person with the right skills and this rate of pay reflects the level of experience, responsibility and expertise required for the role.

“All political groups including Independents sit on the committee which will be asked to ratify this appointment on Wednesday. Any queries or concerns can be raised then.”

Mrs Lally left the council at the end of July with a £209,000 pay-off, marking the end of a dramatic saga that had seen a former council leader ousted, a damning review that branded the authority “dysfunctional” and “distracted”, and the discovery of unlawful spending totalling tens of thousands of pounds. Half of her previous £190,000 salary as chief executive had initially been covered by the Northumbria Healthcare NHS Foundation Trust, where she also worked in a dual role, while interim chief executive Rick O’Farrell was appointed on a £202,117 yearly salary on a temporary basis this summer.

The council also confirmed that it was paying all of Mrs Lally’s salary by the time of her departure, rather than it being split with the NHS trust.

North East council chief executives’ annual salaries, according to latest published figures (for 2022/23 unless stated):

  • John Hewitt, Durham County Council - £204,768
  • Helen Paterson, Northumberland County Council - £199,000
  • Patrick Melia, Sunderland City Council - £194,474
  • Pam Smith, Newcastle City Council - Chief executive pay range is between £172,753 and £188,948. The council refused to provide Mrs Smith’s actual salary.
  • Sheena Ramsey, Gateshead Council - £175,226
  • Jonathan Tew, South Tyneside Council (2021/22) - £166,006
  • Paul Hanson, North Tyneside Council - £158,122

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