THE decision to award AMs an 18 per cent wage increase needs to be reconsidered, according to the chief executive of the TaxPayers' Alliance.

Assembly members elected in 2016 will be paid an extra £10,000, an independent panel announced on Friday.

The remuneration board of the National Assembly for Wales announced its final decision after five years of discussions and reviews.

Board chairman Sandy Blair said the 18 per cent rise on the current £54,000 is to recognise how different the assembly will be after the 2016 election.

Responding to the announcement, Jonathan Isaby, chief executive of the TaxPayers' Alliance, said: "It can't be one rule for most of the public sector and another for Assembly Members.

"We are trying to find necessary savings across government through serious restraint on salaries, so clearly now is not the time for a pay rise of this extraordinary size.

"The Remuneration Board has shown itself to be totally out of touch with public opinion and they need to reconsider their decision as soon as possible."