25 / 8 / 2015 4.15pm
The chief secretary to the treasury has written to the chairs of the eight independent pay review bodies, highlighting expectations for the 2016-17 pay round. He also emphasises the PRBs’ important role in making recommendations on public sector pay and achieving pay reforms.
The letter sets out the need for continued pay restraint to help protect public sector jobs and confirms that public sector pay awards will increase by an average of 1 per cent a year for four years from 2016-17. However, it stresses that there should not be an expectation that all staff will necessarily receive a 1 per cent pay increase.
The letter also confirms the government’s commitment to reform public sector pay and conditions, which include 'a renewed focus on progression pay'.
The independent pay review bodies have been asked to consider targeting pay awards in a way that supports the delivery of services and, where needed, addresses recruitment and retention pressures.