London Daily

Focus on the big picture.
Friday, Jul 24, 2026

Liz Truss’s plans to cut public sector pay leave Tory mayor ‘speechless’

Liz Truss’s plans to cut public sector pay leave Tory mayor ‘speechless’

Leadership candidate’s plan would hit nurses, police officers and armed forces, says Sunak backer
The Conservative mayor of Tees Valley has said he is “speechless” at plans by Liz Truss to slash £8.8bn from public sector pay outside London, saying it would hit nurses and police officers.

Ben Houchen, a backer of Rishi Sunak, said there was no way the figure could be achieved without pay cuts outside London that would hit levelling up.

“Actually speechless,” he tweeted. “There is simply no way you can do this without a massive pay cut for 5.5 million people including nurses, police officers and our armed forces outside London. So much that we’ve worked for in places like Teesside would be undone.”

Jacob Rees-Mogg has denied Truss plans to slash the pay of public sector workers outside the capital by introducing regional pay boards, as senior figures questioned how billions of promised savings could be made. The original policy release from Truss said it could be “adopted for all public sector workers in the long term”.

Rees-Mogg, a backer of Truss and the minister in charge of civil service efficiencies, said it was “not the plan at the moment” to cut pay for the wider public sector to make savings of £8.8bn promised by Truss. “The discussion at the moment is around civil servants,” he said.

The most significant element of the plan is the introduction of regional pay boards, which Truss said would “tailor pay to the cost of living where civil servants actually work”. She claimed this would save up to £8.8bn.

Experts questioned whether the savings were feasible. Alex Thomas, a programme director at the Institute for Government thinktank, said the whole annual civil service pay bill was about £9bn.

Mike Clancy, the general secretary of the Prospect trade union, said it would make civil service recruitment more difficult. “The civil service is already struggling to recruit and retain employees in the face of crippling pay cuts, threats of redundancy and continuous attacks from ministers,” he said.

“Making working for the civil service even less attractive by reducing leave, cutting pay for people outside of London, and removing roles dedicated to reducing inequality will only make recruitment harder and leave us unable to provide vital services.”

In a revised statement, Truss’s campaign said it was “the potential savings if the system were to be adopted for all public sector workers in the long term” – which would include public sector employees such as teachers and nurses.

Rees-Mogg said it was right to save money by moving civil servants out of London. “You don’t have the London weighting or the London allowance. And property costs are lower outside London. These are really important benefits.

“And it ties in with levelling up because you’re moving the jobs out of London. But at the same time we need a smaller civil service. We have 91,000 more people working for the civil service than we did in 2016. You need to get back to the 2016 level. That on its own will save about £3.5bn, potentially more.”

Thomas said the figures did not add up if applied only to civil servants. “It’s going to come from the wider public sector, it’s going to come from nurses and teachers and local authorities,” he said.

He said the “complicated and controversial” move would mean nurses and teachers being paid less or receiving slower pay rises than others, adding: “This is not war on Whitehall, it’s more like war on Workington.”

Rees-Mogg also said Truss would be right to rid the civil service of all diversity and inclusion programmes. “We had a training programme called Check Yo’Privilege – what on earth is that? Why are we wasting people’s time with a course that doesn’t help people do their jobs better?

“What do we want from the civil service? We want people to get their passports on time. We want people to get their driving licence on time, we want the probate service to work.”
Newsletter

Related Articles

0:00
0:00
Close
Badenoch Rejects Grant Shapps' Bid to Return as Conservative Candidate
BAE Chief Warns Britain Has Underestimated the Risk of War
Burnham Rules Out New Scottish Independence Referendum in First Talks With Swinney
UK Government Strengthens Northern Economic Agenda Through Manchester Headquarters and Regional Partnerships
United Kingdom Opens New Furness Peninsula Coastal Route Under King Charles the Third England Coast Path
England Reduces Business Costs for Hospitality Sector Through New Relief Package
United Kingdom Allocates Seven Point Three Million Pounds for Zero-Emission Aviation Research
United Kingdom Begins Restoration Works on Portishead Railway Line After Six Decades Without Passenger Services
United States Tariff Measures Create New Trade Challenges for United Kingdom and European Union Businesses
Prime Minister Andy Burnham Meets Scottish and Welsh Leaders to Promote Regional Growth Cooperation
United Kingdom Government Announces Twenty Percent Business Rates Cut for Pubs, Clubs, and Music Venues
Prime Minister Andy Burnham Opens Manchester Government Headquarters to Shift Decision-Making Away From Westminster
United Kingdom Defence Ministry Says Armed Forces Ready After Iran Accuses London Over US Military Strikes
United Kingdom Inflation Falls to Two Point Six Percent as Prime Minister Andy Burnham Gains Economic Breathing Room
OpenAI Sued After ChatGPT Allegedly Discouraged Emergency Care Before Near-Fatal Embolism
Viral Video Raises Questions Over Twelve-Dollar Croissants at Manhattan Bakery
UK Balances Security Commitments With Economic Growth Priorities
Retail and Hospitality Sectors Navigate Consumer Caution and Tax Changes
Key Trends to Watch
British Land Appoints Joanne McNamara as New Chief Executive Officer
UK Government Names New Life Peers Including Former Military and Civil Service Leaders
Institute of Directors Urges Government Action on Employment Costs and Skills Shortages
IMF Raises UK 2026 Growth Forecast to One Percent
UK Retail Sales Growth Slows Sharply as Households Cut Discretionary Spending
UK Ten-Year Bond Yields Remain Above Five Percent as Government Faces Higher Debt Costs
UK Government Plans Earlier End to Low-Value Import Duty Exemption for Online Retail Parcels
Reform UK Leads Tight Westminster Voting Poll as Conservatives and Labour Remain Close
Royal Navy Carrier Strike Group Completes First Arctic and North Atlantic Mission Phase
Andy Burnham Government Cuts Business Rates for Pubs and Music Venues by Twenty Percent
UK Inflation Falls to Two Point Six Percent in June as Food and Fuel Prices Ease
Andy Burnham Becomes UK Prime Minister Facing Growth Challenges and Fiscal Pressure
UK Government Reviews Long-Term Balance Between Cost Relief, Industry Support, and Public Investment Priorities
BBC Could Receive Permanent Royal Charter Under Government Proposal
Northern Ireland Proposes End to Severe Weather Exemptions for Electricity Compensation Rules
Andy Burnham Holds Talks With UK Devolved Leaders on Regional Cooperation and Devolution
House of Lords Launches Inquiry Into Risks Facing UK Democratic Institutions
ScottishPower Renewables Plans Major Rebuild of Whitelee Wind Farm With Fewer Larger Turbines
UK and Italy Leaders Discuss Global Combat Air Programme and Future European Cooperation
UK Government Announces Six Hundred Million Pound Aerospace Investment Package at Farnborough Airshow
European Union Approves UK Participation in Ninety Billion Euro Ukraine Support Loan Framework
Rolls-Royce Warns UK Government Over Jet Engine Funding Decision and Future Manufacturing Plans
UK Inflation Falls to Two Point Six Percent in June as Fuel and Food Prices Ease
Andy Burnham Begins Premiership With Two Pound England Bus Fare Cap and Electricity Tax Cut Plan
YouGov Poll Shows Tight Competition Among UK Political Parties
Space Technology Investment Expands Through UK-US Cooperation at Farnborough Airshow
UK Opens Final India Young Professionals Scheme Ballot for Three Thousand Applicants
United Kingdom Approved for Ukraine Financial Support Initiative With EU Partners
UK and Ireland Leaders Discuss Security, Energy and Regional Cooperation
British Heart Foundation Identifies Ten UK Areas With Severe Shortages of Defibrillators
Former Southern Water Executives Charged Over Alleged Water Test Manipulation Scheme
×