Spending on quangos has ballooned by almost a quarter since the Covid pandemic, The Telegraph can disclose.

The arms-length bodies racked up £33 billion worth of net costs last year while employing 176 senior staff on bigger pay packets than the Prime Minister.

Their losses have surged at more than twice the rate of inflation since 2022, increasing by 24 per cent, while staff costs spiralled by almost 15 per cent.

The highest-paid quangocrats raked in more than £300,000 last year, with some making more than double Sir Keir Starmer’s salary of £166,000.

Critics say the findings of The Telegraph’s research into the quangos’ accounts shows Rachel Reeves must make slashing quango budgets central to her crackdown on government waste.