Unions have warned of a “hammer blow to morale” across the public sector after Downing Street said ministers would have to take into account the risk of stoking inflation when deciding this year’s pay awards.
A readout of Tuesday morning’s cabinet meeting revealed that ministers “held a discussion on public sector pay”, which would affect government officials, nurses, police, teachers and NHS workers struggling during the cost of living crisis.
It came as the Department for Environment, Food and Rural Affairs (Defra) became the first Whitehall department to announce a recruitment freeze, with the threat of more than 90,000 job cuts looming across the public sector.
According to Boris Johnson’s official spokesperson, at the cabinet meeting “the prime minister said the public are understandably anxious about global cost of living pressures, and that the government will continue to support those most in need”.
The spokesperson added: “The government has already pledged to increase public sector spending and is awaiting decisions by public sector review bodies. However, ministers made clear that the risk of triggering higher inflation must be part of considerations when deciding pay awards this year.”
Trade unions reacted angrily to the suggestion public sector workers should bear the responsibility for restraining inflation.
The TUC deputy general secretary, Paul Nowak, said: “These claims are nonsense. Making sure people can afford to pay their bills and put food on the table is not going to push up inflation. Inflation is being driven by rising energy costs, not pay demands.”
He added: “Key workers in the public sector have endured a decade of wage cuts and freezes. At a time when staff shortages are crippling frontline services
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