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  1. ITV Report

Public sector workers 'to get £2 billion pay increase'

Teachers, police officers, soldiers and other public sector workers will be given a £2 billion pay rise, according to reports.

The Treasury is set to unveil the biggest public sector pay rise for six years on Monday, before Theresa May steps down as prime minister, the Times has claimed.

Around two million workers will receive an above-inflation salary increase, amid concerns the private sector is pulling ahead on pay.

Those set to receive a pay rise include:

  • Police officers to get a 2.5 per cent rise
  • Soldiers to see a 2.9 per cent rise
  • Teachers and other school staff to receive 2.75 per cent rise
  • Dentist consultants to receive 2.5 per cent rise
  • Civil servants to be given a 2 per cent increase

The Treasury is expected to say, barring extra funding for schools, the money will have to come from existing budgets.

Since the Conservatives have been in government since 2010, public sector pay rises have been capped at one per cent, however that limit was scrapped last year.

Nurses and other public sector staff will not be affected by the increase as their pay is dealt with separately, The Times said.

The announcement is set to be one of Theresa May’s last acts as PM Credit: Henry Nicholls/PA

Asked about the reports, Home Secretary Sajid Javid told ITV News a 2.5% pay increase for police officers could be funded by current budgets.

Jonathan Cribb, a senior research economist at the Institute for Fiscal Studies, told the paper: “These public sector pay rises are higher than last year’s and considerably higher than the 1% for many years before that.

“It is the highest nominal pay increase since the coalition. But these increases are still slower than pay rises that are happening on average in the private sector.

“With the partial exception of schools, there seems to be no new money to fund these pay rises, meaning savings will have to be made elsewhere.”

The announcement is due on Monday, the day before Mrs May is set to step aside as prime minister. Either Boris Johnson or Jeremy Hunt will take over.

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Mr Johnson has refused to commit a pay rise for public sector workers despite an apparent policy pledge by one of his key backers.

Health Secretary Matt Hancock had said the public sector would be “shown some love” if Mr Johnson won, but the former foreign secretary made no spending pledge.

“Of course he’s right, we are going to make sure that we properly fund our public services,” Mr Johnson said.

“It’s very important when you’re in charge of a great public service, whether it’s the police or transport, you’ve got to make sure – or local government – you’ve got to make sure that you understand their cares and their needs.”

“It’s very important when you’re in charge of a great public service, whether it’s the police or transport, you’ve got to make sure – or local government – you’ve got to make sure that you understand their cares and their needs.”