COLLEGE chiefs at the centre of a row over an “outrageous” 17 per cent pay hike have backed down.

The Glasgow Colleges Regional Board (GCRB) said it would no longer implement the rise for executive director Robin Ashton - who would have seen his pay increase from £81,000 to £95,000.

The interim chairman of the GDRB, Grahame Smith, had earlier defended the pay rise, saying the post carried "huge responsibility".

On Thursday, the Scottish Funding Council (SFC) came under pressure to block the pay increase from the Scottish Parliament’s Public Audit Committee.

MSPs heard that SFC interim chief executive Dr John Kemp had decided not to use his power to step in over the decision because such a move should only happen in extreme circumstances.

Mr Kemp said he had instead written to Mr Smith making his views clear.

Deputy First Minister John Swinney said the level of pay rise was "unacceptable" and has now confirmed that Mr Smith had "re-considerd" the decision taken by the board.

He said: "He has confirmed that there will be no change to the existing terms and conditions of the current post-holder."

Mr Kemp said: “I welcome the decision not to implement the proposed changes.

"SFC has been in close dialogue with GCRB and Government about this and I am pleased with the outcome.

"GCRB has responded in the right way to the concerns expressed by the Public Audit and Post Legislative Scrutiny Committee.”

During the commitee hearing, SNP MSP Alex Neil pressed Mr Kemp on whether he could still step in to prevent the rise, which he described as “absolutely beyond belief” and “outrageous”.

He said: “Here we are still in a year when we’re telling nurses that they get one per cent and we’re talking about a nearly 20 per cent rise for somebody who is already on a very substantial salary which you clearly have indicated that you don’t agree with. Why are you not using your powers?

“The public are really getting pretty fed up and the people, the nurses for example, who are paid about one third of this chief executive’s current salary in some cases, their taxes are funding these increases.

“Why are you not using your powers to set an example? If you don’t use your powers you’re sending out the wrong message to the rest of the college sector about these excessive pay rises.”

In response, Mr Kemp said he would consider whether the next option was to use the power to intervene or whether it was appropriate to open further dialogue with GCRB.

Paul Johnston, the Scottish Government’s director general of education, told the committee the Scottish Government was concerned about bodies that were awarding pay increases “well in excess of what would be expected in terms of public sector arrangements”.

He said he understood “the matter is not yet fully concluded” and further discussions would be held with the SFC about the “most appropriate way to proceed”.

Mr Smith had said earlier this week that the salary was £25,000 less than it could have been under an evaluation of Mr Ashton’s role and 40 per cent lower than the highest paid college principal.

“It carries huge responsibility with accountability for the allocation of around £100m annually, serving over 50,000 students,” he added.

However, in Lanarkshire, where a similar regional board has been set up to run two colleges, there is no executive director. Instead, a chair leads the region with remuneration capped annually at just over £20,000.

The regional body was set up to help run the city’s three colleges - City of Glasgow, Clyde and Glasgow Kelvin - following a series of mergers across Scotland.

The situation is unusual because the city has three colleges with their own principals and boards in addition to the regional body.