The Government has accepted the recommendations of Pay Review Bodies for public sector pay awards for 2012-13. In line with the announcement made in the June Budget 2010, public sector workers covered by the Bodies earning a full time equivalent of £21,000 or less will receive a pay increase of £250. Those earning over £21,000 will have their pay frozen. At the Spending Review 2010 the pay freeze was forecast to save £3.3 billion a year by 2014-15.
Taking into account evidence from the Government and other parties, the Pay Review Bodies made recommendations on uplifts for prison officers, the armed forces and NHS Agenda for Change staff earning £21,000 or less, which the Government has accepted.
Pay Review Bodies for 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. The Teachers Pay Review Body made recommendations for the full two year pay freeze last year.
The majority of civil servants will remain in the pay freeze for the coming year. However, those departments who had not already agreed a legally binding pay deal entered the pay freeze a year early in 2010-11 and will therefore exit it ahead of other groups. Their settlements for 2012-13 will be in line with the one per cent average pay increase set out by the Chancellor at Autumn Statement 2011. Individual departments will set out further details in due course.
Notes for Editors
This announcement does not include police and local government workforces, who are not covered by Pay Review Bodies. Police officer pay is determined by the Police Negotiating Board and the Home Secretary. Local Government workers’ pay remains a matter for Local Authorities and the National Joint Council.
As set out in the June Budget 2010, public sector pay was frozen for two years, except for those earning £21,000 or less, who received an increase of at least £250. Those civil service departments who had not already agreed a legally binding pay deal entered the freeze in 2010-11 and will therefore exit the freeze ahead of other groups.
Today’s announcement confirms pay awards for 2012-13 for prison officers, the armed forces and the NHS (excluding doctors and dentists).
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.