Victorian MPs given pay rise, making premier highest paid in the country

Victorian voters are angry that state politicians will be receiving a pay rise - the second in two years.

Jacinta Allan is now the highest paid premier in the country, with her pay packet nudging half a million dollars when entitlements are included.

However, Deputy Premier Ben Carroll announced today he would be donating his increase to UNICEF, catching some of his parliamentary colleagues off guard.

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All MPs were given the 3.5 per cent rise in line with the new financial year, about $1 million between them.

Backbenchers are now earning more than $200,000, and MPs have also been given an increase to allowances.

They will be able to claim 3.4 per cent more on driving, 3.6 per cent on travel, and another 6.1 per cent in electorate allowances per voter.

The decision was made by an independent tribunal, but they come against a backdrop of cuts to hospitals, spiralling government debt, and huge cost-of-living pressures.

The premier and opposition leader are both on leave, so have not revealed if they too will be donating their pay rises to charity.