Public Sector Pay

Thank you for contacting me about public sector pay.

Public sector workers deserve to have fulfilling jobs that are fairly rewarded. The Government has confirmed that it will be moving away from the 1 per cent public sector pay policy, towards a more flexible approach on pay. As I said in a speech in the Commons on Budget day the Chancellor’s modest fiscal relaxation does give the Government more flexibility in this regard.

We still need to deal with our country's debts to ensure we have a strong economy to enable us to invest in our public services. This means that it is vital that we continue to take a balanced approach to public spending.

The Government will consider each specific area to ensure pay is set so that the public sector can continue to both attract and retain the excellent staff that support our world-leading public services.

Before Ministers make final decisions on pay awards, they will seek the views of the eight independent Pay Review Bodies, which will consider the evidence on how best to ensure they can recruit and retain the very best people within our public services, like giving people more flexibility over their working hours. They will report in spring 2018, at which point the Government will consider their recommendations and announce public sector pay awards for each of those workforces.

Since 2010 the deficit has been cut by two thirds, helping secure our economy for the future. There is more to be done, but thanks to the actions that have been taken to get the public finances back into shape, the Government can now apply greater flexibility to public sector pay. Ministers will continue to ensure that the overall package for public sector workers recognises their vital contribution and ensures that they can deliver world class public services, while also being affordable and fair to taxpayers as a whole

Thank you again for taking the time to contact me.