London Daily

Focus on the big picture.
Wednesday, Nov 12, 2025

Public sector pay rises - who decides and how?

Public sector pay rises - who decides and how?

From nurses to rail workers, public sector workers across the board are striking this Christmas as most call for above-inflation pay rises to help with the cost of living crisis.

Public sector workers across several different industries are striking this Christmas as they call for better pay and conditions.

Unions say most of the pay rises awarded earlier this year are not enough for people to live on, especially with the current high level of inflation.

As those in the public sector, of which there are about 5.7 million, receive taxpayers' money, the amount they are paid is determined by their overall employer - the government.

However, there is a lengthy process to determine their pay before ministers ever see a number.

How are public sector pay rises determined?

Pay review bodies

Independent pay review bodies play an integral role in informing the government's final decision on how about 45% of the public sector gets paid - including teachers, nurses, doctors, police officers and members of the armed forces.

There are eight pay review bodies made up of experts in their field whose appointments are made on merit, not political affiliation.
Advertisement

The process begins when the secretary of state for the relevant area requests recommendations on employee pay from the pay review bodies.

They will set a timeline and parameters such as asking the bodies to consider issues such as affordability, retention, recruitment and the state of the entire labour market.

Departments' spending on pay is limited by the amount of funding they receive from the Treasury.



A range of sources, such as trade unions and their members, as well as employers, then submit evidence to the pay review bodies, who will usually visit staff from their sector to determine concerns and opinions.

The government then also submits its formal pay offer at this stage for all levels of staff affected.

After receiving all the evidence from the relevant groups, the pay review bodies then recommend what the level of pay should be.

What happens after the recommendations are made?


The government chooses when it will respond to and publish the reports made by the pay review bodies.

Secretaries of state usually respond to the recommendations by issuing a written ministerial statement in parliament.

On the whole, the recommendations are accepted by secretaries of state, but there have been times when they have overridden the recommendations.

Sectors can disagree with the pay changes and can strike over the decision, but the government has the ultimate say.

Are there pay review bodies for all public sector jobs?


No.

Civil servants not in the senior civil service have their pay set by individual departments, according to guidance issued by the Cabinet Office and the Treasury.

Local government staff (not teachers) have their pay determined by their employers and trade unions.

Firefighters' pay is set by a separate body that is part of the National Joint Council for Local Government Services, which tends to follow the Treasury's public sector pay policy, although it is not bound by it.

Devolved governments - Northern Ireland, Scotland and Wales - set their own pay policy for public bodies under their control.

Newsletter

Related Articles

0:00
0:00
Close
UK Upholds Firm Rules on Stablecoins to Shield Financial System
Brussels Divided as UK-EU Reset Stalls Over Budget Access
Prince Harry’s Remembrance Day Essay Expresses Strong Regret at Leaving Britain
UK Unemployment Hits 5% as Wage Growth Slows, Paving Way for Bank of England Rate Cut
Starmer Warns of Resurgent Racism in UK Politics as He Vows Child-Poverty Reforms
UK Grocery Inflation Slows to 4.7% as Supermarkets Launch Pre-Christmas Promotions
UK Government Backs the BBC amid Editing Scandal and Trump Threat of Legal Action
UK Assessment Mis-Estimated Fallout From Palestine Action Ban, Records Reveal
UK Halts Intelligence Sharing with US Amid Lethal Boat-Strike Concerns
King Charles III Leads Britain in Remembrance Sunday Tribute to War Dead
UK Retail Sales Growth Slows as Households Hold Back Ahead of Black Friday and Budget
Shell Pulls Out of Two UK Floating Wind Projects Amid Renewables Retreat
Viagogo Hit With £15 Million Tax Bill After HMRC Transfer-Pricing Inquiry
Jaguar Land Rover Cyberattack Pinches UK GDP, Bank of England Says
UK and Germany Sound Alarm on Russian-Satellite Threat to Critical Infrastructure
Former Prince Andrew Faces U.S. Congressional Request for Testimony Amid Brexit of Royal Title
BBC Director-General Tim Davie and News CEO Deborah Turness Resign Amid Editing Controversy
Tom Cruise Arrives by Helicopter at UK Scientology Fundraiser Amid Local Protests
Prince Andrew and Sarah Ferguson Face Fresh UK Probes Amid Royal Fallout
Mothers Link Teen Suicides to AI Chatbots in Growing Legal Battle
UK Government to Mirror Denmark’s Tough Immigration Framework in Major Policy Shift
UK Government Turns to Denmark-Style Immigration Reforms to Overhaul Border Rules
UK Chancellor Warned Against Cutting Insulation Funding as Budget Looms
UK Tenant Complaints Hit Record Levels as Rental Sector Faces Mounting Pressure
Apple to Pay Google About One Billion Dollars Annually for Gemini AI to Power Next-Generation Siri
UK Signals Major Shift as Nuclear Arms Race Looms
BBC’s « Celebrity Traitors UK » Finale Breaks Records with 11.1 Million Viewers
UK Spy Case Collapse Highlights Implications for UK-Taiwan Strategic Alignment
On the Road to the Oscars? Meghan Markle to Star in a New Film
A Vote Worth a Trillion Dollars: Elon Musk’s Defining Day
AI Researchers Claim Human-Level General Intelligence Is Already Here
President Donald Trump Challenges Nigeria with Military Options Over Alleged Christian Killings
Nancy Pelosi Finally Announces She Will Not Seek Re-Election, Signalling End of Long Congressional Career
UK Pre-Budget Blues and Rate-Cut Concerns Pile Pressure on Pound
ITV Warns of Nine-Per-Cent Drop in Q4 Advertising Revenue Amid Budget Uncertainty
National Grid Posts Slightly Stronger-Than-Expected Half-Year Profit as Regulatory Investments Drive Growth
UK Business Lobby Urges Reeves to Break Tax Pledges and Build Fiscal Headroom
UK to Launch Consultation on Stablecoin Regulation on November 10
UK Savers Rush to Withdraw Pension Cash Ahead of Budget Amid Tax-Change Fears
Massive Spoilers Emerge from MAFS UK 2025: Couple Swaps, Dating App Leaks and Reunion Bombshells
Kurdish-led Crime Network Operates UK Mini-Marts to Exploit Migrants and Sell Illicit Goods
UK Income Tax Hike Could Trigger £1 Billion Cut to Scotland’s Budget, Warns Finance Secretary
Tommy Robinson Acquitted of Terror-related Charge After Phone PIN Dispute
Boris Johnson Condemns Western Support for Hamas at Jewish Community Conference
HII Welcomes UK’s Westley Group to Strengthen AUKUS Submarine Supply Chain
Tragedy in Serbia: Coach Mladen Žižović Collapses During Match and Dies at 44
Diplo Says He Dated Katy Perry — and Justin Trudeau
Dick Cheney, Former U.S. Vice President, Dies at 84
Trump Calls Title Removal of Andrew ‘Tragic Situation’ Amid Royal Fallout
UK Bonds Rally as Chancellor Reeves Briefs Markets Ahead of November Budget
×