HUNDREDS of employees at a Hampshire council can expect a pay rise when finance chiefs meet next week.

Staff at Test Valley Borough Council are to get a 2.5 per cent increase in wages at a committee meeting on Wednesday.

It will mean that all of the 496 employees of the council, from the lowest paid to the chief executive – who already earns around £150,000 a year – will receive the pay increase.

Jonathan Isaby, chief executive of campaign group the TaxPayers’ Alliance, has slammed the proposal.

He said: “At a time when local authorities across the country are having to find necessary savings and hard-pressed families are struggling with rising bills, the council needs to ask itself if this pay rise can possibly be justified.

“Taxpayers expect their money to fund frontline services like adult social care, not to be used to top up pay packages for council bosses, some of whom already earn three-figure salaries.”

But leader of Test Valley Borough Council Ian Carr, pictured, said: “I’ve heard no feedback that it’s under or over. Whatever happens there will be discussions at the committee hearing.”

Trade unions including Unison, initially claimed for a four per cent increase and a continuing commitment to pay at least the living wage to its lowest paid employees.

Unison had submitted the claim to “restore and maintain living standards of the staff who have seen their real pay eroded over almost a decade. Meeting our claim will give the opportunity to demonstrate its commitment to creating a workforce which is well-paid and high in morale and productivity. The claim is straightforward and realistic,” the union said.

Cllr Alan Dowden, who sits on the committee, blasted their suggestion as “ridiculous”.

“It’s 2.5 per cent and that’s above inflation. We can’t ask much more than that,” he said.

Two of the three trade unions involved in the dispute, Unison and GMB, have voted to accept the offer in a ballot.

The outcome of the ballot of Unite members will be reported verbally to the committee. It is not know how the union will respond.

It will be the third year in a row that staff have received an above-inflation pay rise.

Staff over the border at Southampton City Council have not been awarded a pay increase above the 1 per cent awarded by Westminster.

A pay increase of 1.5 per cent in salary had been provided for in this year’s budget but the council’s head of finance said that “an award up to 2.5 per cent could be met without creating a budget pressure”.

Last year the leader of the council, Ian Carr, defended his chief executive’s pay rise saying “I think he’s worth it” after approving the £3,000 pay hike.

Members of the committee are expected to meet on Wednesday, June 22 at the council chamber in the Guildhall, Andover.