North Yorkshire County Council is to substantially increase payments made to councillors.

The council agreed this week to put in place a new system under which existing allowances for attending meetings will be scrapped and councillors will be paid a basic rate of just over £100 a week.

Members of the Conservative-controlled authority, which has been forced to review the present payment system because legislation to reform the operations of councils is going through Parliament, will see a significant increase in the basic level of allowance.

An initial report on members' allowances was produced by PriceWaterhouseCooper, but in line with Government requirements this has now been considered by an independent panel.

The quarterly county council meeting on Wednesday broadly accepted the recommendations of the panel, which said in its report: "Payment of allowances at a reasonable level to attract quality candidates and to recognise the responsibility of elected councillors is overdue. It is in the interest of the people of North Yorkshire that councillors be properly compensated."

The report added: "The county council has for a very long time remunerated its members at a level significantly below the average of similar authorities. Implementing the recommendations will narrow the gap, but not close it.

"The basic allowance would be set at a level 8pc below the average of similar councils. Similar levels of increase are being introduced right across the country as all councils modernise their structures and ways of working."

The panel recommended an initial basic flat rate allowance for all councillors of £5,500, or just over £105 a week, to reflect the fact that members were expected to take part in most areas of the council's work.

An additional combined political and executive leadership allowance of £13,200 should be paid to the leader of the council to recognise the responsibilities of the post, with £6,600 to the chairman of the authority, £2,200 to the vice-chairman and £7,700 to other members of the new cabinet