The Remuneration Authority has announced a 1.5 percent increase for MPs, after the legislation change last year, which saw MPs getting five-percent increases.

The change will see the Prime Minister's salary increase six and a half thousand dollars to $435,000, cabinet ministers up to $272,000, and regular MPs to around $150,000.

Managing director of Hays recruitment agency Jason Walker, told Newstalk ZB's Mike Hosking the increase is about right.

"Last year the majority of New Zealanders around about 70 percent received around 1-3 percent, so you wouldn't say 1.5 percent is unreasonable at all."