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The Guardian - UK
The Guardian - UK
Politics
Richard Partington Economics correspondent

UK public sector pay awards to overtake private sector for first time in four years

CIPD United Kingdom NHS Rachel Reeves Inflation
Rachel Reeves presenting the budget
Rachel Reeves presenting the budget. The CIPD said pay awards in the private sector could face downward pressure after measures announced by the chancellor. Photograph: UK PARLIAMENT/AFP/Getty Images

Pay awards for public sector workers in Britain are set to overtake the private sector for the first time in four years, according to a report, amid growing business alarm at the government’s tax plans.

After October’s budget confirmed above-inflation pay rises for public sector workers and higher taxes on employment, the Chartered Institute of Personnel and Development (CIPD) said there was a growing divide in the outlook for jobs and wages.

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