Dudley councillors in 2.2 per cent allowance increase
Councillors in Dudley borough have received a 2.2 per cent rise in their allowances - despite the authority having to make £27 million of cuts.
Councillors have been given the austerity-defying rise to keep pace with the increase in wages for council workers.
But UKIP councillors have rejected the offer, saying the money should be spent on front line services instead.
The councillors' basic allowance will increase from £9,393 to approximately £9,600.
Councillor Peter Lowe, leader of the Labour-run council, said the change in the allowance rate had been recommended by an independent body which reviews the councillors' pay.
He said last year the council decided against increasing its members' allowance, while this year's rise was the second lowest of any metropolitan borough in the Midlands.
"The pay increase is simply in line with what council workers have received. The local council workers have had an increase so the councillors' allowance is in line with that. The allowance has not gone up in three years because the government has not given local government workers a pay rise," Mr Lowe added.
However, UKIP councillor Paul Brothwood described the hike as an "insult to the taxpayers of Dudley borough," and the council's seven UKIP representatives have refused to accept it.
He added: "With hundreds of staff on zero hour contracts and with the council planning to cut £200,000 children's services, we would rather see frontline staff and services prioritised and not councillors' wallets.
"The Labour group has already given massive pay increases to senior management in Dudley Council which only UKIP fought. They now want councillors to have a piece of the pie.
"As a result of this all UKIP councillors in Dudley will reject this rise and have asked for it to be paid to local Community Forums for residents to benefit.
"As UKIP group leader I call on all councillors in the borough to follow our lead and put the people of Dudley first."
The council is looking to make £27m of cuts as part of £57m in savings it needs to find by 2017/18 and around 300 jobs are at risk.
Savings of £22.9m are proposed for 2015/16, moving up to £25.3m by 2016/17 and £27.4m by 2017/18. But the council has warned it faces a deficit of approaching £30m by 2017/18 if additional savings are not found.
More than 700 positions have been axed during the past four years. Among the job losses are management positions at the borough's children's centres.
By 2018, the council will need to have made a total of £117m of savings since 2011.
