Public sector workers look set for below-inflation pay rises after Boris Johnson warned a meeting of cabinet that generous settlements could trigger an inflationary spiral.
“Limited” pay restraint was likely to be less damaging to the real value of take-home pay and less likely to drive up household costs such as mortgages, ministers told the meeting.
But the leader of the Unite union, Sharon Graham, told The Independent that a below-inflation rise would effectively amount to a “national pay cut”.
