Government Announces 24% Hike in Salaries, Pensions and Additional Pensions of MPs and ex-MPs

The Central government has announced a significant 24% increase in salaries, pensions, and daily allowances for sitting Members of Parliament (MPs) and former Parliamentarians. The changes, effective from April 1, 2023, were officially notified by the Ministry of Parliamentary Affairs on Monday.

Key Changes:

• Salary: Sitting MPs will now earn ₹1.24 lakh per month, up from ₹1 lakh.
• Daily Allowance: Increased from ₹2,000 to ₹2,500 per day.
• Pension: Former MPs will receive ₹31,000 per month, a jump from ₹25,000.
• Additional Pension: For service beyond five years, the amount rises from ₹2,000 to ₹2,500 per month.

The revision was made under the Salary, Allowances and Pension of Members of Parliament Act, aligning with the Cost Inflation Index under the Income Tax Act, 1961.

While the move aims to adjust for inflation and rising costs, it has sparked mixed reactions. Supporters argue that better compensation ensures MPs can work effectively, while critics question the timing amid broader economic challenges.

With the new financial year approaching, the hike will soon reflect in the earnings of India’s lawmakers and retired Parliamentarians.