The UK government has recommended a 2.8% pay rise for millions of public sector workers, including teachers, NHS staff, and senior civil servants, for the year 2025-26. However, the proposal has sparked widespread criticism from unions, with some threatening further industrial action if the recommended increase is implemented.
The British Medical Association (BMA) warned of a “very real risk” of additional strikes, citing ongoing “pay erosion” as a significant issue. Unison’s Helga Pile also criticized the offer, calling it a “bitter pill” for workers who have faced years of pay stagnation.
The recommendations, which will now be reviewed by public sector pay bodies, are part of a broader discussion around public sector pay. Justice Secretary Shabana Mahmood described the proposal as just “the start of that process” and urged unions to acknowledge the financial challenges inherited from the Conservative government.
While inflation is predicted to average 2.6% next year, the government’s stance is that public sector departments will have to fund future pay rises from their own budgets, without additional government support if the recommended increases exceed available funding. Officials are also being asked to find savings or improve productivity to cover any extra costs.
The prime minister’s spokesperson emphasized that pay awards must be fair not only to workers but also to taxpayers. They added that for pay increases to exceed inflation, they must be accompanied by productivity improvements.
The BMA has called the 2.8% rise for 2025-26 a sign of the government’s failure to address unresolved issues from two years of industrial action. Similarly, the Royal College of Nursing described the proposal as “deeply offensive,” with general secretary Prof Nicola Ranger stating that the government’s offer was “less than the price of a coffee” per day.
The Department for Education defended the 2.8% pay rise for teachers, stating it was necessary to maintain competitiveness in a challenging financial environment. However, the National Education Union (NEU) argued that the offer was inadequate, pointing out that teacher pay has been cut by over 20% in real terms since 2010.
In total, eight pay review bodies make recommendations on annual pay awards for around 45% of public sector workers, although ministers have the final say and can override their recommendations. Unions contend that these bodies are constrained by government-imposed budget limits, which limit their ability to secure better pay deals for workers.
The ongoing debate over public sector pay is set to continue, with unions and the government at odds over what constitutes fair compensation for essential public workers.