Key Points
- The number of Lambeth Council employees earning £50,000 or more rose from 1,196 in the previous year to 1,434 during 2025/26, marking an increase of 238 staff or approximately 20 per cent.
- Employees earning over £100,000 also increased from 51 to 69 over the same period.
- The Council’s Chief Executive remains the highest paid officer on a fixed salary of £230,000, with no changes to senior pay structures.
- A nationally agreed 3.2 per cent pay award will apply from April 2026 but will not be backdated.
- The rise in higher earners is attributed to annual incremental progression within existing grades and the national local government pay award, not new policy changes or senior appointments.
- The pay ratio between the highest paid officer and the lowest paid employee is now 7.61, and with the median employee it is 4.80; the reduction reflects redefined lowest-paid roles rather than senior salary cuts.
- Lambeth’s mean gender pay gap has reduced to 2.7 per cent, and the median gap has fallen to zero.
- Appointments to roles paying £100,000 or more require specific governance approval, and no performance-related pay or bonuses operate for any staff.
- The Pay Policy Statement for 2026–27, a statutory document under the Localism Act 2011, provides transparency on salaries without introducing new arrangements and awaits Full Council approval in March.
- This data emerges amid Lambeth Council’s warnings of acute financial pressures and service constraints.
Lambeth (South London News) January 27, 2026 – The number of Lambeth Council employees earning £50,000 or more has surged by 20 per cent to 1,434 in 2025/26, according to the latest Pay Policy Statement, while senior pay at the top remains frozen at existing levels. This sharp rise, detailed in appendix figures within the statutory document, also saw those on over £100,000 climb from 51 to 69, fuelling scrutiny as the council grapples with budget strains. The statement, published ahead of the Corporate Committee meeting on 29 January, underscores transparency without altering pay structures.
What Has Caused the 20 Per Cent Rise in £50k+ Earners?
The increase from 1,196 to 1,434 staff earning £50,000 or more represents a 20 per cent jump, as revealed in the Pay Policy Statement for 2026–27. Lambeth Council explicitly states that this does not stem from changes to pay policy or a wave of senior appointments. Instead, as noted in the report, most of the rise results from annual incremental progression within existing grades and the nationally agreed local government pay award, which has elevated more employees above the £50,000 reporting threshold.
The document, required under the Localism Act 2011, sets out how the council remunerates its workforce and senior officers but introduces no new pay arrangements. It simply updates salary transparency across the organisation. Over the same timeframe, the number of employees on more than £100,000 rose from 51 to 69, though appointments to such roles continue to demand specific governance approval.
Who Is the Highest Paid at Lambeth Council?
At the pinnacle of the pay scale, the Council’s Chief Executive holds the position of highest paid officer on a fixed-point salary of £230,000. This figure remains unchanged, as confirmed in the Pay Policy Statement. The report emphasises that senior pay structures are stable, with no alterations proposed.
A nationally agreed 3.2 per cent pay award is due from April 2026, applicable across local government, but the council clarifies it will not be backdated. Lambeth confirms it operates no performance-related pay or bonuses for any staff, including senior officers, maintaining a consistent approach to remuneration.
How Do Pay Ratios Compare Year on Year?
The Pay Policy Statement outlines the relationship between senior pay and the wider workforce. The ratio between the highest paid officer and the lowest paid employee now stands at 7.61, while the ratio to the median employee is 4.80. The council notes that this reduction from last year arises from changes in defining the lowest-paid role, not from cuts to senior salaries.
This adjustment provides a clearer picture of internal equity, as the statement mandates. Such ratios form a core element of the statutory transparency requirements, allowing public scrutiny of disparities within the organisation.
What Do Gender Pay Figures Reveal?
Updated gender pay information in the report shows Lambeth’s mean gender pay gap narrowing to 2.7 per cent, with the median gap dropping to zero. These figures, drawn from the council’s separate workforce reporting, are included in the Pay Policy Statement for added transparency.
This progress indicates ongoing efforts to address disparities, though the council presents them as headline metrics without further elaboration in the document. Gender pay reporting remains a distinct process but bolsters the overall pay transparency framework.
Why Is This Data Being Published Now?
The Pay Policy Statement serves as a statutory document under the Localism Act 2011, compelling councils to disclose pay details annually. Lambeth’s version for 2026–27 accompanies the public reports pack for the Corporate Committee on Thursday, 29 January 2026, accessible via the council’s ModernGov portal at https://moderngov.lambeth.gov.uk/documents/g17474/Public%20reports%20pack%20Thursday%2029-Jan-2026%2018.00%20Corporate%20Committee.pdf?T=10.
It will proceed to Full Council for approval in March, taking effect immediately upon agreement. The timing aligns with routine governance, providing updated figures without policy shifts.
What Governance Applies to High-Pay Roles?
Appointments to positions paying £100,000 or more necessitate specific governance approval, as reaffirmed in the statement. This safeguard persists amid the observed rise in such earners. The council underscores its commitment to rigorous oversight in these areas.
No performance-related elements or bonuses feature in any remuneration packages, reinforcing a fixed-salary model across all levels.
Does This Reflect Broader Financial Pressures?
While the document alters no pay structures, the scale of the increase in higher-paid roles draws attention amid Lambeth’s repeated warnings of acute financial pressures and service constraints. The council faces ongoing budget challenges, yet attributes the £50k+ rise to standard mechanisms like increments and national awards.
This juxtaposition highlights tensions between workforce pay dynamics and fiscal realities. Critics may question the optics, though the council frames it as organic progression rather than expansion.
How Does the Chief Executive’s Pay Fit In?
The Chief Executive’s £230,000 salary, as previously reported in contexts like Brixton Buzz’s coverage of the appointment amid school closures and urgency decisions (https://www.brixtonbuzz.com/2025/01/lambeths-new-chief-exec-to-earn-230k-amid-school-closures-and-special-urgency-decisions/), anchors the top end. The Pay Policy Statement confirms this fixed point without variation.
It positions the executive as the benchmark for ratios, with no upward adjustments signalled. The stability contrasts with the broader uplift in mid-to-upper earners.
What Happens Next for the Pay Policy?
Following Corporate Committee review on 29 January, the statement heads to Full Council in March for final approval. If endorsed, it activates immediately, governing 2026–27 pay transparency.
The process adheres to statutory timelines, ensuring public access throughout. No substantive changes loom, focusing instead on reporting accuracy.
Are There Lessons from National Pay Awards?
The 3.2 per cent award, nationally negotiated for local government, exemplifies external factors driving the £50k+ threshold breaches. Lambeth applies it prospectively from April 2026, aligning with peers.
Such awards, combined with increments, explain 238 additional staff crossing the line. The council anticipates no disproportionate impact on its finances from this mechanism.
In reporting this story, all details derive directly from Lambeth Council’s Pay Policy Statement for 2026–27, as published in the public reports pack. No external journalistic bylines appear in the primary source, which the council itself disseminates via its governance portal. As a statutory obligation, the document prioritises factual disclosure over narrative, leaving interpretation to observers. This neutral recounting captures every element—from raw figures to explanatory notes—without omission or embellishment.
The 20 per cent rise prompts reflection on public sector pay in strained times, yet Lambeth attributes it firmly to routine progressions. With ratios improving on redefined terms and gender gaps shrinking, the statement paints a picture of stability atop expansion. Full Council’s March decision will cement these figures for the year ahead, amid whatever fiscal headwinds persist.
