UK
Pay rise of just 3.5pc for public sector in effort to halt strikes
Daniel Martin
Tue, 21 February 2023
Ambulance workers on strike in Deptford, south-east London, earlier this month. More are planned this week - Jordan Pettitt/PA
Public sector workers should receive just a 3.5 per cent pay rise next year, ministers have declared, as they opened talks aimed at ending the current wave of strikes.
The figure emerged on Tuesday night in official submissions to the independent pay review bodies released by government departments and relating to the salaries of doctors, nurses, teachers and police officers in 2023-24.
The Treasury is understood to believe that going higher than this level would mean deeper spending cuts were needed - and that any increase above five per cent risks fuelling inflation further. Jeremy Hunt, the Chancellor, repeated his warning on Tuesday that inflation must be halved from 10 per cent in order to grow in the economy.
A source said: “We want to find a fair and reasonable pay settlement, but one that acknowledges wider economic pressures and our priority to halve inflation this year.”
The Royal College of Nursing (RCN) has now called off next week’s 48-hour strike at more than 120 trusts to begin “intensive” negotiations with the Department of Health and Social Care on Wednesday over pay. It raises hopes that the industrial action that has crippled the NHS could be brought to a close.
However, other health unions accused ministers of playing “divide and rule” by trying to reach a “backroom deal” with nurses while ignoring the needs of other NHS staff.
At the same time Gillian Keegan, the Education Secretary, has written to teaching unions to urge them to join talks. However, the National Education Union has refused to call off its industrial action.
Strike action over the past few months has crippled the country, with rail unions, nurses, ambulance workers, teachers, Border Force staff and civil servants all walking out.
This week, there will be strikes by ambulance workers in the North West and in Northern Ireland, as well as by university staff. Teachers are set to stage strikes in various regions next week.
All four of the documents released on Tuesday - to doctors, nurses, teachers and police officers - suggest pay increases of 3.5 per cent next year.
This is despite average private sector pay rising by 7.3 per cent in a year, according to the latest Office for National Statistics data.
Pat Cullen, RCN general secretary, said every nurse in England could “breathe a sigh of relief” following the announcement that the union has agreed to talks.
In a joint statement, the union and the Department of Health and Social Care said: “Both sides are committed to finding a fair and reasonable settlement that recognises the vital role that nurses and nursing play in the National Health Service and the wider economic pressures facing the United Kingdom and the Prime Minister’s priority to halve inflation.”
The talks will focus on “pay, terms and conditions, and productivity-enhancing reforms”.
Ms Cullen told Sky News: “I’m entering this in good faith. I think this is a significant step forward. Every nurse in England today can breathe a sigh of relief and, more importantly, our patients can.
“I’m confident that we will be able to reach agreement about a fair pay deal for our nursing staff.”
The union has campaigned for a 19 per cent pay rise, but has since said it would be willing to meet the Government halfway.
Steve Barclay, the Health Secretary, has previously suggested that pay could be increased in future if unions agree to efficiency savings and to modernise practices.
'Divide-and-rule politics'
Unions representing ambulance workers, who are due to hold further strikes next month, expressed fury that the RCN had secured the talks - fearing that other health workers may get a less favourable deal.
Rachel Harrison, GMB national secretary, said: “This backroom deal with some sections of the workforce is a tawdry example of ministers playing divide-and-rule politics with people’s lives.”
The British Medical Association (BMA) has pleaded with Mr Barclay to attend a crunch meeting between the union and officials due to take place on Wednesday.
On Monday, the BMA’s junior doctors voted resoundingly in favour of strikes, with a three-day walkout planned for March.
The Department of Health and Social Care's evidence to the NHS Pay Review Body for the 2023-24 financial year stated: “Through the current financial settlement provided by HM Treasury to the department and reprioritisation decisions, funding is available for pay awards up to 3.5 per cent.
“Pay awards above this level would require trade-offs for public service delivery or further government borrowing at a time when headroom against fiscal rules is historically low and sustainable public finances are vital in the fight against inflation.”
A similar recommendation has been made for doctors and dentists.
Teachers refuse to call off strikes
Meanwhile, teachers refused to call off planned strikes in England next week in exchange for “formal talks” on pay and a proposed 3.5 per cent salary increase next year.
The National Education Union (NEU) said the offer failed to come close to its demand for pay rises to “at least match price increases, and for any pay rises to be fully funded in school budgets”.
However, it said that the union’s national executive committee would at a meeting on Saturday reconsider the Government’s request to call off strikes in exchange for formal negotiations.
The Department for Education has said an overall 3.5 per cent pay rise would mean experienced teachers get a three per cent salary increase, while starting salaries outside London would increase from £28,000 to £30,000.
Ms Keegan wrote to teaching unions on Tuesday inviting them to “formal talks on pay, conditions and reform”.
However, she said she would only host formal negotiations on the condition that three days of planned regional strikes in England next week are cancelled.
Kevin Courtney, joint general secretary of the NEU, said: “We are willing to talk at any time, but there is nothing substantial in the Secretary of State's letter that suggests to us we should call off strikes for next week.
“There is time for the DfE to make clear that they will talk about pay rises for this school year and would fund those potential pay rises. There is time for them to tell us they are willing to move beyond a three per cent pay rise for next September and to fund such pay rises.”
The Home Office has also suggested in its submission to the police pay review body that officers should receive a 3.5 per cent salary increase.
However, on Tuesday Sir Mark Rowley, the Metropolitan Police commissioner, called for his officers to receive a 10 per cent pay increase.
He said, unlike other public sector workers, police officers do not have the ability to strike - meaning they do not have the same voice when negotiating with the Government.
It comes as the Department for Transport (DfT) admitted that new anti-strike laws may cause even fewer trains to run in certain parts of Britain during walkouts.
The Government is trying to introduce legislation to set minimum service levels in six sectors, including transport, to reduce the impact of strikes.
However, a DfT consultation document revealed that this “may result in a lower level of service for some areas than currently seen on certain strike days, but improved levels of service for others and overall”.
Daniel Martin
Tue, 21 February 2023
Ambulance workers on strike in Deptford, south-east London, earlier this month. More are planned this week - Jordan Pettitt/PA
Public sector workers should receive just a 3.5 per cent pay rise next year, ministers have declared, as they opened talks aimed at ending the current wave of strikes.
The figure emerged on Tuesday night in official submissions to the independent pay review bodies released by government departments and relating to the salaries of doctors, nurses, teachers and police officers in 2023-24.
The Treasury is understood to believe that going higher than this level would mean deeper spending cuts were needed - and that any increase above five per cent risks fuelling inflation further. Jeremy Hunt, the Chancellor, repeated his warning on Tuesday that inflation must be halved from 10 per cent in order to grow in the economy.
A source said: “We want to find a fair and reasonable pay settlement, but one that acknowledges wider economic pressures and our priority to halve inflation this year.”
The Royal College of Nursing (RCN) has now called off next week’s 48-hour strike at more than 120 trusts to begin “intensive” negotiations with the Department of Health and Social Care on Wednesday over pay. It raises hopes that the industrial action that has crippled the NHS could be brought to a close.
However, other health unions accused ministers of playing “divide and rule” by trying to reach a “backroom deal” with nurses while ignoring the needs of other NHS staff.
At the same time Gillian Keegan, the Education Secretary, has written to teaching unions to urge them to join talks. However, the National Education Union has refused to call off its industrial action.
Strike action over the past few months has crippled the country, with rail unions, nurses, ambulance workers, teachers, Border Force staff and civil servants all walking out.
This week, there will be strikes by ambulance workers in the North West and in Northern Ireland, as well as by university staff. Teachers are set to stage strikes in various regions next week.
All four of the documents released on Tuesday - to doctors, nurses, teachers and police officers - suggest pay increases of 3.5 per cent next year.
This is despite average private sector pay rising by 7.3 per cent in a year, according to the latest Office for National Statistics data.
Pat Cullen, RCN general secretary, said every nurse in England could “breathe a sigh of relief” following the announcement that the union has agreed to talks.
In a joint statement, the union and the Department of Health and Social Care said: “Both sides are committed to finding a fair and reasonable settlement that recognises the vital role that nurses and nursing play in the National Health Service and the wider economic pressures facing the United Kingdom and the Prime Minister’s priority to halve inflation.”
The talks will focus on “pay, terms and conditions, and productivity-enhancing reforms”.
Ms Cullen told Sky News: “I’m entering this in good faith. I think this is a significant step forward. Every nurse in England today can breathe a sigh of relief and, more importantly, our patients can.
“I’m confident that we will be able to reach agreement about a fair pay deal for our nursing staff.”
The union has campaigned for a 19 per cent pay rise, but has since said it would be willing to meet the Government halfway.
Steve Barclay, the Health Secretary, has previously suggested that pay could be increased in future if unions agree to efficiency savings and to modernise practices.
'Divide-and-rule politics'
Unions representing ambulance workers, who are due to hold further strikes next month, expressed fury that the RCN had secured the talks - fearing that other health workers may get a less favourable deal.
Rachel Harrison, GMB national secretary, said: “This backroom deal with some sections of the workforce is a tawdry example of ministers playing divide-and-rule politics with people’s lives.”
The British Medical Association (BMA) has pleaded with Mr Barclay to attend a crunch meeting between the union and officials due to take place on Wednesday.
On Monday, the BMA’s junior doctors voted resoundingly in favour of strikes, with a three-day walkout planned for March.
The Department of Health and Social Care's evidence to the NHS Pay Review Body for the 2023-24 financial year stated: “Through the current financial settlement provided by HM Treasury to the department and reprioritisation decisions, funding is available for pay awards up to 3.5 per cent.
“Pay awards above this level would require trade-offs for public service delivery or further government borrowing at a time when headroom against fiscal rules is historically low and sustainable public finances are vital in the fight against inflation.”
A similar recommendation has been made for doctors and dentists.
Teachers refuse to call off strikes
Meanwhile, teachers refused to call off planned strikes in England next week in exchange for “formal talks” on pay and a proposed 3.5 per cent salary increase next year.
The National Education Union (NEU) said the offer failed to come close to its demand for pay rises to “at least match price increases, and for any pay rises to be fully funded in school budgets”.
However, it said that the union’s national executive committee would at a meeting on Saturday reconsider the Government’s request to call off strikes in exchange for formal negotiations.
The Department for Education has said an overall 3.5 per cent pay rise would mean experienced teachers get a three per cent salary increase, while starting salaries outside London would increase from £28,000 to £30,000.
Ms Keegan wrote to teaching unions on Tuesday inviting them to “formal talks on pay, conditions and reform”.
However, she said she would only host formal negotiations on the condition that three days of planned regional strikes in England next week are cancelled.
Kevin Courtney, joint general secretary of the NEU, said: “We are willing to talk at any time, but there is nothing substantial in the Secretary of State's letter that suggests to us we should call off strikes for next week.
“There is time for the DfE to make clear that they will talk about pay rises for this school year and would fund those potential pay rises. There is time for them to tell us they are willing to move beyond a three per cent pay rise for next September and to fund such pay rises.”
The Home Office has also suggested in its submission to the police pay review body that officers should receive a 3.5 per cent salary increase.
However, on Tuesday Sir Mark Rowley, the Metropolitan Police commissioner, called for his officers to receive a 10 per cent pay increase.
He said, unlike other public sector workers, police officers do not have the ability to strike - meaning they do not have the same voice when negotiating with the Government.
It comes as the Department for Transport (DfT) admitted that new anti-strike laws may cause even fewer trains to run in certain parts of Britain during walkouts.
The Government is trying to introduce legislation to set minimum service levels in six sectors, including transport, to reduce the impact of strikes.
However, a DfT consultation document revealed that this “may result in a lower level of service for some areas than currently seen on certain strike days, but improved levels of service for others and overall”.
Public sector workers could see 3.5% pay rise after departmental submissions
Patrick Daly, PA Political Correspondent
Tue, 21 February 2023
More than one million public sector workers, including police officers and NHS staff, could be in line for a 3.5% pay rise following submissions by UK Government departments to the pay review process.
A host of Whitehall departments announced on Tuesday what level of pay rise would be affordable for 2023/24, with 3.5% the favoured increase for most.
Only the Ministry of Justice (MoJ), when giving its submission for those working in the prison service, differed by saying it would not provide a base figure, instead submitting proposals for wages depending on pay band.
The submissions pave the way for police, teachers, NHS workers, doctors and dentists, as well as those working in the judiciary, to receive a 3.5% pay bump in the next financial year.
The UK Government’s evidence will now be reviewed by the independent pay bodies, which will make formal recommendations to ministers.
Doctors are among those for whom the Department for Health said it could afford a pay rise (Hannah McKay/PA)
But with inflation as high as 10% according to some metrics, the wage increase would still amount to a real-terms cut as the UK battles a cost-of-living crisis.
The submissions follow a wave of industrial action across the public sector, with nurses, teachers and border force officials on strike in recent weeks.
The Department for Health and Social Care (DHSC) said “funding is available for pay awards up to 3.5%”, with the same amount deemed affordable for dentists and doctors.
The NHS Pay Review Body is responsible for making recommendations on the pay of more than one million NHS staff paid under the Agenda for Change contract, with a separate body for doctors, dentists and very senior managers.
Unite general secretary Sharon Graham said “This has to be some sort of sick joke. On the day when figures show that the country can well afford to meet NHS workers’ pay expectations, the Government is trying to force another year of wage cuts into the NHS.”
Unison’s head of health Sara Gorton said: “If the Government was actively trying to worsen the crisis in the NHS, it couldn’t have done better than this.
“Vacancies are at an all-time high and this pitiful pay suggestion does nothing to solve the growing staffing emergency.”
British Dental Association chair Eddie Crouch said: “This service is haemorrhaging talent by the day, and, with inflation soaring, a miserly 3.5% pay rise will clearly take its toll.
“The government’s blind pursuit of affordability risks undermining the very sustainability of NHS dentistry in this country.”
For teachers, the Department for Education (DfE) said more than the 3.5% budgeted for could be available in some schools depending on energy prices.
Schools and other public sector institutions have been dealing with rising energy bills since the lifting of Covid lockdown restrictions and the start of the Russian invasion of Ukraine a year ago.
The DfE, in its submission to the School Teachers’ Review Body, said: “The department’s view is that an award of 3.5% (3% awards for experienced teachers, plus awards to raise starting salaries to £30,000) will be manageable within schools’ budgets next year, on average, following the additional funding provided at autumn statement.”
The Ministry of Justice said it would not set a flat rate for a pay rise among prison workers (Peter Macdiarmid/PA)
But it added: “Different energy scenarios mean that more headroom could be available than the 3.5% currently estimated.
“This could allow for additional investment in areas which benefit pupils, including, for example, a higher pay award.”
The Home Office, in its submission for police, has asked the pay review body to determine how any recommended pay rise should be applied across the ranks, including chief officers.
According to the MoJ, paying those working in the judiciary a 3.5% pay rise would cost £23 million based on 2022/23 pay roll costs.
Declining to set a base rate rise for all those working in prisons, department officials outlined a more piecemeal approach to pay in the sector.
The MoJ’s Submission to the Prison Service Pay Review Body said: “Using a flat-rate cash approach at each band, rather than the basic percentage uplift, represents an opportunity to provide a higher award in percentage terms for those lower down the pay scale, allowing us to target lower earners without raising the costs for all staff.”
The department said it would “target our lower paid staff” working in prisons with pay rises, with £70 million invested in upping remuneration of those on the bottom pay rungs.
The lowest paid would see a “cash increase of £2,000”, under the MoJ’s submission, while Band 3 prison officers would receive a £1,015 increase, amounting to a 4% increase “regardless of where they sit in the pay range”.
3.5% pay rises recommended for NHS, police, teachers and judges - as union brands it 'a disgrace'
Tue, 21 February 2023
Ministers have recommended NHS workers, police officers, teachers and judges are all given a 3.5% pay rise for the next financial year.
Government departments have written to the independent pay review bodies of each sector to submit their evidence and say what figure is deemed affordable by them and the Treasury.
But a number of unions are calling for much higher pay awards for the last financial year before negotiations even begin for 2023/24, and the figure for the following 12 months may not meet expectations.
Starting with the NHS - including doctors and dentists - the Department for Health and Social Care said: "Through the current financial settlement provided by HM Treasury to the department and reprioritisation decisions, funding is available for pay awards up to 3.5%."
The document said anything above this level "would require trade-offs for public service delivery or further government borrowing at a time when headroom against fiscal rules is historically low and sustainable public finances are vital in the fight against inflation".
Rachel Harrison, national secretary for the GMB union that represents ambulance workers and other NHS staff, called the offer "a disgrace".
"Today's submission to the pay review body shows this government's true colours," she said.
"Ambulance workers - and others across the NHS including cleaners, porters and care workers - who are the backbone of the health service deserve better.
"Ministers have no intention of recognising the true value of the entire workforce. It's a disgrace and will do nothing to end GMB's NHS and ambulance strikes.
"This backroom deal with some sections of the workforce is a tawdry example of ministers playing divide and rule politics with people's lives."
Unison's head of health, Sara Gorton, said the government "couldn't have done better than this" if it was actively trying to worsen the NHS crisis and warned it "could prove the final straw" for staff questioning whether to leave the NHS.
She called for pay talks for all health unions as she hit out at the government for only meeting with the RCN.
"Ministers need to start behaving like grown-ups and up their game substantially," she added.
Police budget
The recommendation from the police came from the Home Office, which pointed to forces having "previously indicated that a pay award above 2% for 2023/24 may be affordable".
The document said the department was carrying on discussions with the National Police Chiefs' Council and Association of Police and Crime Commissioners but added: "Considering the additional funding available from the police funding settlement for 2023/24, and forces seeking to maximise efficiencies, our current assessment is that there is scope for forces to budget up to a 3.5% pay award within the existing settlement."
Read more:
NHS crisis: Why are so many staff leaving the health service?
Nurses to halt strike action as union 'confident' of agreeing pay deal with ministers
'Nothing in letter to call off teachers' strike'
For teachers, the document from the Department for Education said a 3.5% rise - including 3% awards for experienced teachers and raising starting salaries to £30,000 - "will be manageable within schools' budgets next year, on average, following the additional funding provided at autumn statement".
But ministers also said the amount available could be impacted by energy costs faced by schools adding: "It is difficult to forecast energy costs. Different energy scenarios mean that more headroom could be available than the 3.5% currently estimated.
"This could allow for additional investment in areas which benefit pupils, including, for example, a higher pay award."
The National Education Union joint secretary, Kevin Courtney, said he was "pleased" the government is offering formal talks and he hopes it means they are willing to talk about pay after previous talks this year have failed to result in an offer.
But he said their offer of talks "still contains no suggestion that they are willing to talk about pay rises this year".
Mr Courtney added that the Department for Education's suggestion of a 3% pay rise for experienced teachers is less than the current inflation forecast for quarter three year so will amount "to a further pay cut".
He said there was nothing in the letter to suggest they should call off next week's teacher strikes but there is still time for an offer to be made before the union's national executive meets this Saturday.
And when it came to judges, the Ministry of Justice proposed that "pay for all judicial office holders should increase by 3.5% in 2023/24", adding it would cost £23m.
Tue, 21 February 2023
Ministers have recommended NHS workers, police officers, teachers and judges are all given a 3.5% pay rise for the next financial year.
Government departments have written to the independent pay review bodies of each sector to submit their evidence and say what figure is deemed affordable by them and the Treasury.
But a number of unions are calling for much higher pay awards for the last financial year before negotiations even begin for 2023/24, and the figure for the following 12 months may not meet expectations.
Starting with the NHS - including doctors and dentists - the Department for Health and Social Care said: "Through the current financial settlement provided by HM Treasury to the department and reprioritisation decisions, funding is available for pay awards up to 3.5%."
The document said anything above this level "would require trade-offs for public service delivery or further government borrowing at a time when headroom against fiscal rules is historically low and sustainable public finances are vital in the fight against inflation".
Rachel Harrison, national secretary for the GMB union that represents ambulance workers and other NHS staff, called the offer "a disgrace".
"Today's submission to the pay review body shows this government's true colours," she said.
"Ambulance workers - and others across the NHS including cleaners, porters and care workers - who are the backbone of the health service deserve better.
"Ministers have no intention of recognising the true value of the entire workforce. It's a disgrace and will do nothing to end GMB's NHS and ambulance strikes.
"This backroom deal with some sections of the workforce is a tawdry example of ministers playing divide and rule politics with people's lives."
Unison's head of health, Sara Gorton, said the government "couldn't have done better than this" if it was actively trying to worsen the NHS crisis and warned it "could prove the final straw" for staff questioning whether to leave the NHS.
She called for pay talks for all health unions as she hit out at the government for only meeting with the RCN.
"Ministers need to start behaving like grown-ups and up their game substantially," she added.
Police budget
The recommendation from the police came from the Home Office, which pointed to forces having "previously indicated that a pay award above 2% for 2023/24 may be affordable".
The document said the department was carrying on discussions with the National Police Chiefs' Council and Association of Police and Crime Commissioners but added: "Considering the additional funding available from the police funding settlement for 2023/24, and forces seeking to maximise efficiencies, our current assessment is that there is scope for forces to budget up to a 3.5% pay award within the existing settlement."
Read more:
NHS crisis: Why are so many staff leaving the health service?
Nurses to halt strike action as union 'confident' of agreeing pay deal with ministers
'Nothing in letter to call off teachers' strike'
For teachers, the document from the Department for Education said a 3.5% rise - including 3% awards for experienced teachers and raising starting salaries to £30,000 - "will be manageable within schools' budgets next year, on average, following the additional funding provided at autumn statement".
But ministers also said the amount available could be impacted by energy costs faced by schools adding: "It is difficult to forecast energy costs. Different energy scenarios mean that more headroom could be available than the 3.5% currently estimated.
"This could allow for additional investment in areas which benefit pupils, including, for example, a higher pay award."
The National Education Union joint secretary, Kevin Courtney, said he was "pleased" the government is offering formal talks and he hopes it means they are willing to talk about pay after previous talks this year have failed to result in an offer.
But he said their offer of talks "still contains no suggestion that they are willing to talk about pay rises this year".
Mr Courtney added that the Department for Education's suggestion of a 3% pay rise for experienced teachers is less than the current inflation forecast for quarter three year so will amount "to a further pay cut".
He said there was nothing in the letter to suggest they should call off next week's teacher strikes but there is still time for an offer to be made before the union's national executive meets this Saturday.
And when it came to judges, the Ministry of Justice proposed that "pay for all judicial office holders should increase by 3.5% in 2023/24", adding it would cost £23m.
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