Fat cats and quangocrats are earning ‘eye-watering’ daily rates for working on the boards of Scotland’s public bodies, sparking calls for reforms to cut costs.
Board members of public sector organisations cost the taxpayer almost £9million a year, analysis of the Scottish Government database reveals.
The highest earner is the chairman of a state-owned bank, while other officials earning close to £1,000 include some working for under-pressure health boards and Scottish Water, which is controversially forcing through massive increases in bills for customers.
There are also seven people who are being paid lucrative rates working for three or more public bodies at the same time.
The appointments are regulated by the Scottish Government, which has been urged to get a grip of costs and finally deliver on its promise to reform the bloated public sector.
Scottish Conservative local government spokesman Craig Hoy said: ‘These enormous sums being forked out to senior quango board members are impossible to justify when budgets for essential services are being hammered.
‘These lucrative pay deals show the SNP have made no real effort to reduce wasteful spending or reform the bloated public sector. Taxpayers want their hard-earned money spent on neglected frontline services, not fat-cat jobs for the boys.’
The Scottish Government’s database of public appointments shows there are 881 board members at 127 public bodies, including NHS boards, quangos, public corporations, watchdogs and regulators.
Willie Watt, chairman of the state-owned Scottish National Investment Bank
Scottish Water’s chairman Deirdre Michie is paid £105,086 a year for working two-and-a-half days per week
Among the huge sums paid out, Willie Watt, chairman of the state-owned Scottish National Investment Bank, receives £1,250 per day and works 48 days a year - giving him annual earnings of £60,000.
Other non-executive directors at the bank - set up by Nicola Sturgeon when she was First Minister in a bid to revive the economy by investing in companies or projects - are paid £850 per day.
Scottish Water’s chairman Deirdre Michie is paid £105,086 a year for working two-and-a-half days per week - or £808 per day. Other non-executive directors at the body, which is forcing up family water bills by 9.9 per cent from next month, are paid £466 per day and work four days a month.
The firm said its business model of being publicly owned, independently regulated and commercially run has helped it become one of the top performing utilities in the UK.
NHS Lothian chairman John Connaghan earns £44,533 a year for working three days a week - or £283 a day. In its annual delivery plan for 2024/25, the health board said it was facing a £140 million funding gap before efficiency savings had been identified.
Highlands and Islands Enterprise chairman Alistair Dodds receives £45,174 a year for working 91 days a year, giving him a daily rate of £496 a day.
Scottish Labour analysis of the database suggests the estimated cost of pay for board members stands at £8.93million with Scotland’s 14 NHS health boards running up the largest bill at £1.8million a year.
The party has attacked what it described as the ‘proliferation’ of quangos under the SNP.
Finance spokesman Michael Marra said: ‘Under the SNP, the number of quangos has soared while performance in our public services has declined.
‘While frontline staff in our hospitals, schools and police service are working tirelessly to keep overstretched services going, the SNP seems to be writing a blank cheque for board execs.
NHS Lothian chairman John Connaghan earns £44,533 a year for working three days a week
‘Scottish Labour has been clear that we will end the SNP’s “jobs for the boys” quango culture, cut red tape, improve accountability and ensure public money is always being spent well.
‘This includes reducing the number of NHS Health Boards and redirecting resources to frontline services - meaning more nurses and doctors, fewer board members and executives.’
Dozens of individuals have more than one regulated board role in different public sector bodies, including seven with three or more posts.
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Peter Murray holds four different roles, which is more than any other individual, as interim convener of the Scottish Social Services Council and member of the Care Inspectorate, Judicial Appointments Board for Scotland and NHS Lothian.
According to the Scottish Government database, the roles earn him £24,415 for 115 days of work per year.
Callum McGoldrick, researcher at the TaxPayers’ Alliance, said: ‘While Scottish taxpayers grapple with soaring bills, public sector boardrooms are awash with eye-watering daily rates.
‘It’s simply indefensible that quango chiefs are raking in thousands for a handful of days’ work, especially when some are cashing in from multiple roles.
‘Ministers need to get a grip on this gravy train and bring some much-needed restraint to these bloated bureaucracies.’
The Scottish Government said it is working ‘to ensure public services are sustainable, efficient and effective’.
A spokesman added: ‘Our work in this area is expected to save up to £280million over a two year period by the end of 2024-25.
The public sector landscape has been streamlined with the reduction in Scottish public bodies under government control from 199 in 2007 to the current 131.’
