Commenting on the decision by the Labour members of Haringey Council to increase their own allowances, Cllr Robert Gorrie, Leader of the opposition Liberal Democrats, said:

“This is an astonishing insult to local residents especially in this time of economic hardship and uncertainty.

“In the past few months we’ve seen our borough’s leadership resign in disgrace over the tragedy of Baby P. We’ve lost £37 million in Icelandic banks and been served with a £6 million claim over the collapse of negotiations at Alexandra Palace. The Audit Commission have just scored Haringey as one of the four worst councils in the country.

“Despite Haringey becoming a by word for local government calamity, its Labour leaders have shut themselves off from the real world and last night voted to award themselves a pay increase. If that is not a case of using public money to reward failure, I don’t know what it is.”