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21 March 2011

Government accepts Pay Review Body recommendations

The Government has accepted the recommendations of Pay Review Bodies for public sector pay awards for 2011-12. In line with the announcement made in the June Budget, public sector workers covered by the Bodies earning £21,000 or less will receive a pay increase of £250 for 2011-12. Those earning over £21,000 will have their pay frozen for two years. Overall, the pay freeze will save £3.3 billion a year by 2014-15.

Taking into account evidence from the Government and other parties, Pay Review Bodies for teachers, prison officers, the armed forces and the NHS (excluding doctors and dentists) made recommendations, which the Government has accepted.

Danny Alexander, the Chief Secretary to the Treasury, said:

“By taking tough decisions on a pay freeze, we have been able to provide a fair increase for the low paid. I am pleased the Pay Review Bodies have recommended a £250 uplift.”

Pay Review Bodies for senior groups – judges, the senior civil service, the senior military, NHS Very Senior Managers and doctors and dentists – did not make recommendations as their workforces earn above £21,000 and are subject to a pay freeze.

This announcement does not include police and local government workforces, who are not covered by Pay Review Bodies. Police officers and police staff pay is determined by the Police Negotiating Board and the Home Office. Local Government workers’ pay remains a matter for Local Authorities and the National Joint Council.

Notes for Editors

1. As set out in the June Budget, pay was frozen in 2010-11 for civil service departments who were yet to agree a legally binding pay deal. This excluded those earning £21,000 or less, who received at least £250. These civil service departments will exit the freeze ahead of other groups. Today’s announcement confirms pay awards for 2011-12 for prison officers, the armed forces and the NHS (excluding doctors and dentists) and teachers, subject to the statutory consultation process.

2. The departments responsible for each workforce will lay Written Ministerial Statements today, setting out further details. Enquiries on specific workforces should be addressed to the relevant department.

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