Cabinet Approves Hike Of MPs Allowances

Update: 2018-03-01 11:23 GMT
Union Cabinet offered it consent for increasing the allowances given to Member of Parliamentarians. This move would result in hike of Constituency Allowance, Furniture Allowance and Communication Expenses.

Until now, Centre has been spending Rs 2.7 lakh per month on each MP. This include Basic Salary of Rs 50,000 per month, Rs 45,000 as Constituency Allowance and Furniture Allowance of Rs 75,000 for once in 5 years.

Finance Minister Arun Jaitley announced during Budget presentation that a permanent mechanism would be set up to revise the salaries of MPs every 5 years by linking it with inflation. On what parameter, Centre has now increased the allowances is a mystery.

After the cabinet approval, Constituency Allowance would go up from Rs 45,000 to Rs 60,000 per Month. One-Time Furniture Allowance will now be increased to Rs 1 lakh from Rs 75,000. This decision puts an additional burden of Rs 46 crore on the Union Government.
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