The government can only offer NHS staff a 2.5 per cent pay rise next year and says anything more threatens the “speed and delivery” of the 10-Year Health Plan, writes HSJ.
In evidence submitted to the NHS Pay Review Body, the Department of Health and Social Care said higher pay awards would mean “trade-offs” against its service commitments, and “an impact on healthcare delivery”.
It said every 0.5 per cent increase costs an additional £750m. The report added: “These trade-offs could include reduction in ambitions for service or performance improvement (for example, additional investment in digital and technology to support productivity improvements in future years).
“As staffing costs are the largest single area of NHS expenditure, it is likely that higher pay awards will affect the ability of the NHS to afford to maintain or expand staffing levels.”
Date: 2 November