News / Confederation urges government to fund pay rises

12 September 2017

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Following the financial crisis of 2007/08, a two-year pay freeze was introduced across the public sector in 2010, followed by the 1% cap from 2012. But the government decision on 12 September to give police and prison officers a pay rise of more than 1% was widely interpreted as a signal that its public sector cap had been abandoned. Niall-Dickson-2 Police officers will get a 1% rise plus a 1% bonus, with prison officers receiving a 1.7% increase. The rises are in line with pay review body recommendations. Liz Truss, the chief secretary to the Treasury, told the BBC that it was time for a more flexible approach to public sector pay.

However, both pay rises must be funded from existing budgets. This prompted NHS Confederation chief executive Niall Dickson (pictured) to insist that NHS rises of more than 1% must be accompanied by additional funding.

‘The health and care workforce is one of the biggest issues facing the NHS, and indeed the country. In some places we simply cannot recruit the staff we need and this is beginning to have a real impact on patient safety,’ he said.

‘While it is clear the ability to restrain pay without impacting on recruitment or retention is now over, and while we agree the public sector pay cap should be lifted, the worst thing the government could do is expect local NHS organisations to pick up the additional costs. It’s vital the government commits to meeting the costs of doing so with additional NHS funding.’

Responding to the announcement, Dave Prentis, general secretary of Unison, the biggest union in the NHS, said: ‘It’s a step in the right direction, but not nearly enough. For seven long years the government’s harsh pay cap has been hurting public sector workers, their families and the services they provide.

‘There must be no selective lifting of the cap. No one part of the public sector is any more deserving than the rest. With inflation on the rise, the cap must go for everyone and it must go now.’