A new breed of "public sector fat cats" has emerged as taxpayer-funded organisations became more commercial and tried to hang on to experienced staff.

Royal Mail Chief Executive Adam Crozier gets the most cream with earnings set to top #2 million, according to Management Today.

He is followed by Network Rail?s John Armitt, on expected pay of #1 million. Mr Crozier is #1million short of the highest paid private sector executive, Terry Leahy of Tesco, on #3 million a year.

The survey also shows that front line public sector workers were also paid more than staff in private firms ? an average of #12.50 an hour compared with #11.94.

In August there were no fewer than 18 jobs advertised on one public sector website at salaries of more than #100,000 a year.