The Central government has approved a hike in the salaries, allowances, and pensions of Members of Parliament (MPs), effective from April 1, 2023, as per a gazette notification issued on Monday.
The monthly salary for both Lok Sabha and Rajya Sabha MPs has been increased from Rs 1 lakh to Rs 1.24 lakh, while their daily allowance has been raised from Rs 2,000 to Rs 2,500.
Additionally, the pension for former MPs has been revised from Rs 25,000 to Rs 31,000 per month, with an increase in additional pension for every extra year of service beyond five years from Rs 2,000 to Rs 2,500, according to the Ministry of Parliamentary Affairs.
This revision comes during the ongoing Budget Session of Parliament. The last update to MPs’ salaries, allowances, and pensions took place in April 2018. The hike is expected to have a financial impact on the exchequer, given that there are 543 Lok Sabha MPs, 245 Rajya Sabha MPs, and numerous former lawmakers who will benefit from the increased pension.
Apart from their salaries and allowances, serving MPs are entitled to several perks. They receive a constituency allowance of Rs 70,000 per month for work in their electoral districts and Rs 60,000 per month for office expenses, which includes staff salaries, telecommunications, and stationery.
MPs also enjoy 34 free domestic air journeys per year for themselves and their immediate families, as well as rent-free accommodations in prime locations. Those who opt out of official housing can claim a monthly housing allowance of Rs 2 lakh.
Additional benefits include 50,000 units of free electricity annually, 4,000 kilolitres of free water per year, and comprehensive healthcare coverage under the Central Government Health Scheme (CGHS) for MPs and their immediate family members.
Defending the decision, Karnataka Home Minister G. Parameshwara attributed it to increasing expenses as a major factor. “The justification is that their expenditure is also going up along with other people. A common man is also suffering, and MLAs are also suffering. So, recommendations have come from MLAs and others, and that is why the Chief Minister has taken the decision. Everybody has to survive and CM will manage to give this money from some account…”