More than a million NHS staff are to be offered a pay rise of 6.5 per cent – in return for giving up a day’s annual leave.
It has been reported the Government is prepared to increase salaries for the 1.3 million workers on the Agenda for Change contract, which includes all staff barring doctors, dentists and some senior managers.
The Scottish Government, which decides pay scales for NHS staff north of the Border, could also come under pressure to mirror the salary increase.
Chancellor Philip Hammond announced an end to the pay freezes or 1 per cent caps, which had been in force when he unveiled his budget in November.
A national newspaper reported the Treasury and Department for Health and Social Care will put forward plans, which will see non-medical NHS staff receiving a 3 per cent pay rise next financial year and 1 to 2 per cent in the next two years.
Other staff would see their pay rise owing to the scrapping of the 1 per cent cap on salary increases, the paper added.
Government negotiators have said the forfeiture of the one day of annual leave is a “red line”, according to the paper.
The Department for Health and Social Care said the department does not comment on leaks.