Speaking at the Labour Party Conference in Brighton, Denham said the pay of council chief executives had got "out of hand" but he added he disapproved of Conservative and Liberal Democrat plans to freeze salaries of lower earning local government staff.
According to Denham, the average pay of local government workers has risen by £6,000 in seven years, but for chief executives it has increased by £40,000.
He added: "These are not bad people. Most have given a lifetime of public service. But we all know it's got out of hand and it's just got to stop."
