Prime Minister Rishi Sunak has decided to accept the recommendations of independent pay review bodies after discussions with Chancellor Jeremy Hunt this morning.
Millions of UK public sector workers, including doctors and teachers, will get pay rises of about 6% or more.
The bodies had initially suggested pay rises of between 6% and 6.5% for 2023-24, at a potential cost of £5bn.
Within the NHS, the decision affects nurses, porters, cleaners, paramedics, physiotherapists, 999 call handlers, midwives, security guards and junior doctors.
BREAKING: Millions of UK public sector workers, including teachers and doctors, will get pay rises of 6% or more after Rishi Sunak decided to accept the recommendations of independent pay review bodies.
— Sky News (@SkyNews) July 13, 2023
Read more here 👉 https://t.co/NKwmYGs56J
📺 Sky 501 and YouTube pic.twitter.com/gra04eX18h
The decision comes as junior doctors kick off the longest strike in NHS history, with young medics walking out from 7 am today and returning on Tuesday.
Despite the move appearing a win for those who have been campaigning and striking for months, some of the money will come from existing departmental budgets, which could mean more cuts to frontline services.
New rates confirmed by the treasury:
The pay increases each public sector will receive are as follows:
Police - 7%
NHS - 6%
Junior doctors - 6% - starting salary to increase by £3,000
Prison officers (in operational bands) - 7%
Armed Forces - 5%
Teachers - 6.5% - new teachers to start on at least £30,000
New rates in full:
Treasury minister John Glen told the Commons: “New teachers will start on at least £30,000, the lowest paid armed forces will see a pay rise of over £2,000 and the starting salary of a junior doctor will rise by more than £3,000, and that comes alongside our agenda for change deal which delivered a 5% pay rise along with one-off awards worth more than £3,600 for the average nurse or more than £3,700 for the average ambulance worker.
“Specifically that means policing will receive a 7% headline uplift. NHS consults, SAS doctors, salaried dentists and salaried GPs will receive uplifts of 6% this year, junior doctors will also receive a 6% uplift as well as an additional consolidated £1,250 increase.
“Prison officers in the operational bands will receive a pay increase of 7%, with larger increases for support grades. Armed forces will receive a 5% uplift, with an additional consolidated £1,000 increase.
I have a responsibility to be fair to public sector workers and to taxpayers when making decisions about public sector pay.
— Rishi Sunak (@RishiSunak) July 13, 2023
And I know you are relying on me to reduce inflation.
I’ll set out how I will achieve all that – live, here on Twitter. pic.twitter.com/KldNZho7Fz
“And our 6.5% pay award for teachers will be fully funded, with the Government providing £525 million of additional funding for schools in 23/24 and a further £900 million in 24/25.
"In order to achieve this we are reprioritising within the Department for Education’s existing budget to deliver this additional funding to schools while protecting frontline services.
“The action we have taken today is the most responsible way forward, striking a balance between the demands of our public sector workers and the needs of our country and economy.”
He added: “We must deliver on the Prime Minister’s pledge to cut inflation. So we will continue to chart the course of sound money to the benefit of all, whilst making fair pay awards, awards that do not fuel inflation, to our public sector workers.”
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