11 May 2014

Abbott to freeze MP's pay

12:58 pm on 11 May 2014

Australian Prime Minister Tony Abbott is reportedly set to freeze the salaries of federal politicians and senior public servants.

Australian Prime Minister Tony Abbott in Beijing last month.

Australian Prime Minister Tony Abbott in Beijing last month. Photo: Pool / AFP

News Corp Australia says the move is understood to have the backing of the Remuneration Tribunal.

Treasurer Joe Hockey will deliver his first budget on Tuesday night, warning that everyone, including politicians, will have to share the pain.

The pay freeze could cost Mr Abbott, who earns an annual salary of $A500,000, an estimated $A10,000 a year.

AAP reports he cost to the average backbencher will be an estimated $A3900, based on having to forgo a pay increase of 2.4 percent.

Shadow treasurer Chris Bowen said the opposition won't stand in the way of a freeze.

"But it's hardly the main game," he told ABC TV on Sunday. "If he thinks that freezing his salary is going to make Australians feel better about pension cuts, tax rises and other changes, I think he's kidding himself."