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Cabinet okays tweaking of rules to synchronise MPs' perks with inflation


IANS New Delhi
Members of Parliament are set to get more perks and higher allowances from April 1 as the government on Wednesday approved the revision/insertion of rules governing the perks and allowances to MPs and synchronise them with the Cost Inflation Index.
Under the new rules, the Members of both Houses would be entitled to higher constituency and office allowance, more money for buying furniture and would also get high-speed WiFi along with the existing broadband connections, the government announced.
The decision by the Union Cabinet, chaired by Prime Minister Narendra Modi, would be conveyed to the Joint Committee on Salaries and Allowances of Members of Parliament for making amendments in the relevant rules.
This would be published in the Official Gazette after confirmation by the Rajya Sabha Chairman and the Lok Sabha Speaker, Union Law Minister Ravi Shankar Prasad told the media here after the Cabinet meeting.
The constituency allowance has been revised from Rs 45,000 per month to Rs 70,000 per month while the office expenses allowance has been hiked to Rs 60,000 from the existing Rs 45,000 per month with effect from April 1 this year.
This would be increased every five years commencing April 1, 2023 on the basis of the Cost Inflation Index (CII).
Also WiFi zones will be created in the MPs' residential areas for providing high speed Internet connection (FTTH connection) in addition to the existing broadband facility which the MPs have been getting since August 2006.
For this purpose, three new sub-rules would be inserted in the 'Housing and Telephone Facilities (Members of Parliament) Rules, 1956'.
Also, MPs can now buy furniture worth upto to Rs 100,000 instead of the earlier Rs 75,000. This amount will also be hiked every five years starting April 1, 2023.
"Additional financial implication on account of the decision taken by the Cabinet would be around Rs 39,22,72,800 of recurring expenditure and around Rs 6,64,05,400 of non-recurring expenditure," Prasad said.
Article 106 of the Constitution provides that the Members of either House of Parliament shall be entitled to receive such salaries and allowances as may from time to time be determined by Parliament by law.
Consequently, the Salary, Allowances and Pension of Members of Parliament Act (MSA Act) was enacted in 1954 (Act 30 of 1954). Section 9 of the MSA Act provides for constitution of a Joint Committee of both Houses of Parliament for the purpose of making rules under the Act.
The Joint Committee has the powers to make rules after consultation with the Central government to provide for all or any of the matters enumerated in the said section.

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First Published: Feb 28 2018 | 10:00 PM IST

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