Latest Public Sector News

16.05.17

Lib Dems join Labour in pledge to scrap 1% public sector pay cap

Liberal Democrat leader Tim Farron has pledged to put an end to the government’s 1% public sector pay cap and uprate wages in line with inflation, a commitment that is in line with Labour’s pledges according to its leaked manifesto.

Farron, who accused the Conservatives of treating health workers “like dirt” at yesterday’s Royal College of Nursing (RCN) annual conference, said nurses and teachers could be £780 better off by 2021 as part of his party’s plans.

Conversely, it is estimated that a new nurse would be around £530 worse off by then under current Tory plans, while a primary school teacher would lose out on £550 and an army sergeant £830, according to Lib Dem analysis. The party’s leader also said that the controversial pay cap, branded by many unions as a “cruel” policy, would leave the average civil servant £800 worse off by 2021.

Vince Cable, Lib Dem shadow chancellor and the former business secretary, said: “Public sector workers are facing a double blow at the hands of this Conservative government, with years of pitiful increases to pay combined with a Brexit squeeze caused by soaring inflation.

“Our NHS and schools are already struggling to recruit the staff they need. "Living standards are falling, prices are rising and nurses are going to food banks – but Theresa May doesn’t care.”

Farron, who also promised a 1p hike in income tax in order to raise another £6bn for the health service, said scrapping the pay cap is a fully costed pledge.

Just last week, a leading trade union claimed the cap policy will cost the UK economy around £16bn in lost wages by the end of the decade. Analysis by the GMB also predicted that between 2017 and 2020, five million workers in the public sector will find themselves out of pocket by around £3,300 each.

As expected, the cap has been an extremely controversial policy since its inception, and is now threatening to drive the nursing workforce to its first-ever strike in the RCN’s 100-year history.

Comments

There are no comments. Why not be the first?

Add your comment

 

public sector executive tv

more videos >

last word

The importance of openness after Grenfell

The importance of openness after Grenfell

Following the recent Grenfell Tower tragedy, Lord Porter, chairman of the LGA, argues that if the public are going to have faith in the safety testing process then everything must be out in the open more > more last word articles >

public sector focus

View all News

comment

Introducing the Facilities Management Marketplace

14/12/2017Introducing the Facilities Management Marketplace

The new Facilities Management (FM) Marketplace will be an opportunity to st... more >
Meet Pepper, the social care robot

14/12/2017Meet Pepper, the social care robot

Southend-on-Sea Borough Council has become the country’s first local ... more >

interviews

Are we taking a risk on education?

14/12/2017Are we taking a risk on education?

Adrian Prandle, director of economic strategy and negotiations at the Natio... more >

the raven's daily blog

Whole of government must act together to fulfil the ambition of the Industrial Strategy

11/12/2017Whole of government must act together to fulfil the ambition of the Industrial Strategy

Jen Rae, head of innovation policy at Nesta, says the aims in the government’s new Industrial Strategy are ambitious, but will require a shift in policymaking in order t... more >
read more blog posts from 'the raven' >

editor's comment

25/10/2017Take a moment to celebrate

Devolution, restructuring and widespread service reform: from a journalist’s perspective, it’s never been a more exciting time to report on the public sector. That’s why I could not be more thrilled to be taking over the reins at PSE at this key juncture. There could not be a feature that more perfectly encapsulates this feeling of imminent change than the article James Palmer, mayor of Cambridgeshire and Peterborough, has penned for us on p28. In it, he highlights... read more >