Teachers, nurses among millions of public sector workers to receive 5.5% of salaries…

Jul 20, 2024, 07:19 | Updated: Jul 20, 2024, 10:41

Teachers and nurses are among millions of public sector workers who are due a 5.5% pay rise, ministers have been told.

The independent pay review body, representing 514,000 teachers and 1.36 million NHS staff, recommended an above-inflation pay rise because it was in line with private sector pay rises, the Times reported.

This is a big increase from the three per cent planned in the Government’s Budget, presenting another challenge for Rachel Reeves ahead of her first Budget.

Economists have warned that an extra £3.5 billion would be needed to pay for teachers and nurses alone, potentially meaning further tax rises, spending cuts or more debt.

Read more: Government to open formal talks with junior doctors to end long-running pay dispute

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It can be expected that if the government rejects these recommendations, it will lead to further conflicts with trade unions.

Keir Starmer has previously said he is ready to face up to trade union demands.

In his first week in office as prime minister, he said: “Finances are in a very bad state.

“I think that’s obvious. And that’s why we were careful in what we said before the election and we’ll be careful in what we say after the election.”

However, the ongoing pay dispute could lead to further strikes in the coming months.

Union leaders warn that if they are offered less, a “massive row” would break out, which could also make it harder for the government to repair relations with them.

Other public sector workers, including doctors, dentists, civil servants and police officers, are expected to receive similar recommendations.

Some frontline workers are demanding above-inflation pay rises after being forced to accept a 5 per cent pay rise last year – despite some senior doctors getting as much as 19 per cent and junior doctors in talks for 12 per cent.

“5.5 percent is a better result than we thought and it would be hard to deny it,” a representative of the healthcare workers’ union told the newspaper.

“But if the government offered less, we would be angry. It would be really hard for them to justify abandoning an independent process.

“That would be a very bad start, and the constructive spirit of cooperation that could have been achieved with the new government would disappear very quickly. Ultimately, they have to find the money or get into a big fight with the unions.”

A government spokesman said: “We value the vital contribution that almost 6 million public sector workers make to our country.

“The salary review process is ongoing but no final decisions have been made.

“We will update this information in due course. However, we have no illusions about the scale of the public finance legacy we are facing.”