Teacher Pay Award

Monday 29th July 2024 Written Statements

[The Secretary of State for Education (Bridget Phillipson)]

This Government are committed to delivering the best life chances for all children and young people, but we can only achieve our goal by working in partnership with our wonderful teachers. They have guided learners through turbulent times, and I value their expertise, dedication and experience. I am pleased to be able to share an update about teachers and leaders in our schools.

I am today announcing that we are accepting in full the independent School Teachers’ Review Body’s recommendations for 2024-25, implementing a substantial pay award for school teachers and leaders of 5.5% from September. This award will apply to maintained schools across all pay points and allowances, and in practice will also be implemented in many academies at their discretion. I thank the STRB members for their careful consideration of the evidence presented to them.

I am also pleased to confirm that this award will be fully funded at a national level. We are providing schools with almost £1.1 billion in additional funding in financial year 2024-25 to support them with overall costs. This matches what we have calculated is needed to fully fund, at a national level, the teacher pay award and the support staff pay offer in financial year 2024-25, over and above the available headroom in schools’ existing budgets. We recognise that the picture will be different for individual schools. We are also providing an additional £97 million forschools delivering post-16 education (£63 million) and early years provision (£34 million). Taken together, this is an increase of almost £1.2 billion. The wider fiscal context means that this was not an easy decision, but it is the right one, and will be another important step in resetting the relationship between the Government and teaching profession.

We will deliver the almost £1.1 billion for schools through the new core schools budget grant, providing £945 million for mainstream schools, £140 million for high needs, and £11 million for centrally employed teachers. This means that the core schools budget, which includes the core revenue funding for schools and high needs, will total over £61.8 billion in 2024-25.

To help schools understand how much funding they can expect through the CSBG, we have published mainstream and high needs rates. We have also provided a calculator tool at the core schools budget grant pages on gov.uk so that mainstream schools can estimate their grant funding.

We are aware that the full impact of the teacher pay award hits across financial years 2024-25 and 2025-26. The CSBG for 2024-25, announced today, covers the financial year 2024-25 portion of the award. We want to reassure schools that we will take into account the impact of the full year’s costs of the teacher pay award on schools when considering 2025-26 budgets.

We are also taking some early steps to improve the experience of being a teacher in our schools. In addition to the pay award, we will be making some changes to school teachers’ terms and conditions to address some immediate issues, as part of our broader ambition to make work pay and ensure a more productive workforce. This includes removing the requirement for schools to use performance-related pay to reduce the workload burdens that this can have on some schools. We will be publishing updated guidance on appraisals, capability and pay today to support those schools that choose not to use performance-related pay to inform their pay progression decisions. We will also clarify the position on planning, preparation and assessment time, so schools are clear that teachers can use this time at home to provide greater flexibility for teachers.

Following delays caused by the general election, we have moved swiftly to respond to the STRB’s recommendation and give schools the clarity they need, including over their budgets, which we have done by fully funding the pay award for teachers and support staff at a national level, despite the challenging state of public finances. We understand the timings of the pay round have caused significant issues for schools in recent years. We will prioritise ensuring that the pay round works better for schools under our Government—working across Government, the STRB, unions and the wider sector, including establishing the new School Support Staff Negotiating Body.

Looking forward, this Government will work with the sector to deliver our pledge to recruit 6,500 additional teachers across schools and colleges to raise standards for children and young people, and to deliver our mission to break down the barriers to opportunity at every stage.

Unions, employers, and teachers have made clear in my first weeks in office the importance of a fair and fully funded award for school teachers, leaders and support staff. I hope that this year’s pay award, funding position and accompanying announcements will start to build that positive and productive partnership, resetting the relationship between Government and the teaching profession.

We should not take for granted the substantial financial challenges that this Government have faced to be able to find this new funding. As the Chancellor has said, the fiscal context means that this has been a tough process, but this decision will help schools facing recruitment and retention challenges. However, this pay award is the right thing to do to improve competitiveness of teacher pay, including against the private sector. This is the start of the process of reform and renewal of our public services.

STRB Process

The 34th report of the School Teachers’ Review Body is being published today. Its recommendations cover the remit issued in December 2023 by the Conservative Government regarding the pay award for teachers for the next academic year that is due to be implemented from September 2024. The report will be presented to Parliament and published on gov.uk. I will place a copy of this report in the Libraries of both Houses.

The STRB was asked to make recommendations that assessed the adjustments that should be made to the salaries and allowances of classroom teachers, unqualified teachers and school leaders in 2024-25. The previous Government asked the STRB to consider the exceptional nature of previous pay awards, the restrained fiscal context, and the concept of targeted remuneration.

The Department for Education will now write to all statutory consultees of the STRB to invite them to contribute to a consultation on the Government’s response to these recommendations and on a revised school teachers’ pay and conditions document and pay order. The consultation will last for 10 weeks, and the pay award will be backdated to September.

Recommendations and Response

For 2024-25, the STRB recommended increases to teachers’ pay of 5.5% at all grades, and a 5.5% increase to all allowance ranges. The Government have announced that they are accepting these recommendations in full.

The STRB also gave its observations on broader structural issues relating to teachers’ pay and conditions. Department for Education officials will now consider these observations in due course.

Scope

This pay award applies to all teachers and leaders in maintained schools.Non-maintained schools, including free schools and academies, as usual, have the freedom to set their own pay policies. Such schools are therefore not obliged to follow the statutory arrangements set out in the school teachers’ pay and conditions document although they may still choose to do so if they wish.

[HCWS35]