The coalition has agreed to cut special responsibility allowances by up to half and freeze remaining allowances for a further two years. Conference attendance will be cut and first-class expenses and mobile phone bills will not be reimbursed.
Raise allowances were due to come into effect this month, but following local protest in the run-up to the elections, the Lib Dems pledged to remove them. Without an overall majority a compromise reduction was agreed instead.
Lib Dem deputy council leader John Lauderdale said: 'It doesn't follow that if you put a bigger carrot out it will attract better in the sense of commitment to serve the community.'