Together with deputy prime minister Nick Clegg, Cameron has made a clear commitment to cutting the cost of government, including urgent action to begin reducing the deficit this year.
New ministers will be paid 5% less than ministers received in the previous administration and the Government will impose a subsequent ministerial pay freeze for the lifetime of the Parliament - effectively a further pay cut when inflation is taken into account.
Cameron will earn a salary of £142,500, compared with the £150,000 salary Gordon Brown earned when he had the role and senior ministers in the new cabinet will be paid £134,565, compared with £141,647 in the previous cabinet, Downing Street has revealed.
The 5% reduction in Cabinet minister salaries alone will save taxpayers approximately £50,000 this year - and approximately £300,000 will be saved this year when all government ministerial positions are taken into account.
It is thought over the lifetime of the Parliament, the ministerial salary cut and subsequent pay freeze will save approximately £3 million.
