Councillors in North Tyneside have rejected the chance to give themselves a pay rise.
Labour and Tory representatives both agreed to refuse the opportunity to up their yearly allowances by just over seven per cent, equating to around £765.
Ahead of a North Tyneside Council meeting on Thursday night, an independent panel had recommended a pay increase for the area's 60 councillors.
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But both the ruling Labour group and Tory opposition said the move could not be justified when residents are facing a cost of living crisis and are soon set to be hit with council tax hikes.
Deputy Mayor Carl Johnson said: "Times are tough in this borough and we are suffering the economic consequences of successive and current Tory governments' disastrous economic policy. Our residents face a cost of living crisis made in Downing Street and the Labour group does not believe it is right to increase council allowances at this time.
"Therefore I ask the whole chamber to support that the member's allowance scheme for the financial year 2023 to 2024 remains unchanged from the 2022 and 2023 scheme.
"I want to thank the author of the report for all the options available, we appreciate the work you did, but this year we feel it is not the right time."
The basic annual allowance for a councillor in North Tyneside is currently £10,829, with the elected mayor taking home the largest pay packet at £68,499.
The Remuneration Panel had considered the possibility of a 17% increase to the current allowances or an increase of £1,925. However, a report published by the panel and delivered to councillors ultimately recommended a more modest 7.07% increase in annual allowances.
Conservative councillor for the Preston ward Liam Bones said: "We will absolutely be supporting the freeze in council allowances which cannot be justified at a time when councils are eyeing up a five per cent council tax rise."
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