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Public Sector: Pay

Asked by Sarah PochinReform UKTreasuryTabled Answered 22 December 2025UIN 100789

The question

To ask the Chancellor of the Exchequer, what assessment her Department has made of the adequacy of the long term affordability of public sector pay settlements agreed outside the recommendations of independent pay review bodies.

Answered by James Murray

No additional central funding has been given to Departments for the 2025/26 pay awards beyond their existing funding allocations, and this will be the case for the remainder of the Spending Review period. This means we will not be borrowing more or raising taxes to fund higher pay awards, nor will there be an impact on the fiscal rules.

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