Media Release on Building a Strong Team for Singapore

The Government will adopt the recommendations of an independent review committee to refine the salary structure to update for today’s context and better align the National Bonus to the socioeconomic progress of Singaporeans. The moves will give the Government a strong chance to secure capable and committed political leadership to meet the long-term needs of Singapore.

Existing political appointment holders will receive a one-off adjustment of up to 9 per cent from 15 October 2026, depending on individual circumstances, including performance. Any subsequent changes will be based on individual performance and responsibilities.

Core principles and framework reaffirmed

The current political salary framework was established by an independent review committee formed in 2011. A subsequent review committee was formed in 2017 and affirmed that the framework remained sound. The 2017 committee recommended for political salaries to be adjusted in line with the benchmark. Then, the Government had decided not to make any changes due to prevailing economic conditions. The Government also held back a review in 2023. Hence, political salaries have not changed for 15 years.

In December 2025, a Review Committee chaired by Mr Gan Seow Kee was appointed to review the salaries of political appointment holders and Members of Parliament (MPs). The Committee has re-affirmed that the following core principles of the current political salary framework remain relevant:

a.        Calibre. The salary framework should take reference from market benchmarks. This ensures Singaporeans of the right calibre are not deterred from stepping forward to lead the country, and allows Singapore to draw from a broad and deep pool of talent to serve in political office.

b.        Commitment. The salary framework should include a meaningful discount relative to market benchmarks to reflect the ethos of political service.

c.        Clean. The salary framework should ensure a clean wage with no hidden perks. Transparency and integrity in remuneration remain fundamental to maintaining public trust.

Under the current framework, the reference salary for MR4 band is benchmarked to the median annual income of the top 1,000 Singaporean earners, with a 40 per cent discount to reflect the ethos of political service. The Committee has assessed that the top 1,000 Singaporean earners are from a diverse range of professions and reflect the calibre of the Singaporeans that Singapore needs for good government. The benchmark hence remains relevant. The Committee has made recommendations to update the political appointment holders’ salaries and MPs’ allowances, which the Government will accept.

Key updates within the framework

Update salaries in line with key principles

The Government accepts the Committee’s recommendation to update the MR4 benchmark reference salary, to align with the median income of the benchmark pool with a 40 per cent discount applied, from $1.1 million to $1.8 million (see Figure 1 in Annex below). The adjustment represents an average 3.6 per cent annual growth rate since 2011 when the salaries were last adjusted. This is a slower rate than the income growth of Singaporean earners at the 20^th percentile and median. While the Government accepts the Committee’s recommendation to update the reference salary for the MR4 benchmark, the Prime Minister has decided not to move existing political appointment holders immediately to the updated benchmark. Existing political appointment holders will receive a one-off adjustment of up to 9 per cent from 15 October 2026, depending on individual circumstances, including performance. This means a Ministerial Grade 4 (MR4) Minister receiving a $1.1 million annual salary may receive an increment of almost $100,000, bringing his annual salary to around $1.2 million. Beyond this one-off adjustment, any subsequent changes will be based on individual performance and responsibilities.

The salaries of the President, Speaker, and Deputy Speaker will also be adjusted according to their pegs to the MR4 reference salary in the framework. The Government also accepts the Committee’s recommendations to increase allowances for Members of Parliament, Nominated Members of Parliament and Non-Constituency Members of Parliament. MPs will see their monthly allowance increase from $13,750 to $18,500. These changes will take effect on 15 October 2026.

Widen salary ranges and merge grades for flexibility to cater for diverse team

The Government also accepts the Committee’s recommendation to widen the monthly salary range for each grade. For Ministers, the salary range will be 75 to 125 per cent of the reference salary at each grade. Widening the salary ranges will allow the Prime Minister the flexibility to appoint new political appointment holders at a lower salary within the grade; and highly experienced individuals can be paid more within the grade so that the pay loss may be more measured.

The grades for (i) MR2 and MR3, and (ii) Mayors, Senior Parliamentary Secretaries and Parliamentary Secretaries will be merged respectively for simplicity. For Mayors, Senior Parliamentary Secretaries and Parliamentary Secretaries, the salary range will be wider at 70 to 130 per cent of the reference salary at the merged grade.

Update National Bonus targets to tighten focus on socioeconomic priorities

The Committee also reviewed the National Bonus which ties the salaries of political appointment holders to the socioeconomic outcomes of Singapore and Singaporeans. The Government accepts the Committee’s recommendations to update the targets for the National Bonus indicators to tighten focus on Singapore’s socioeconomic priorities and reflect Singapore’s maturing economy (see Figure 2 in Annex below).

Committee report

On their recommendations, Committee Chairman Mr Gan said, “The Committee reviewed the benchmark methodology and data extensively, and concluded that the formula remains relevant and fair, with an explicit discount to reflect the ethos of political service. The committee also recommended to tighten the National Bonus targets for all the socioeconomic indicators. It is important to update the Ministers’ package, which has been unchanged for 15 years, to ensure that Singaporeans of the right calibre are not deterred from stepping forward to lead the country.”

The Committee’s full report is available at go.gov.sg/2026report ↗ (opens in new tab).

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PRIME MINISTER’S OFFICE
SINGAPORE
8 SEPTEMBER 2026

Annex_PMO Media release_Building a strong team for Singapore [PDF, 141.56 KB] ↗ (opens in new tab)