Public Sector Pay Debate

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Department: HM Treasury

Public Sector Pay

Rachel Maclean Excerpts
Tuesday 24th July 2018

(6 years, 4 months ago)

Commons Chamber
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Elizabeth Truss Portrait Elizabeth Truss
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I was diligently trying to answer the hon. Gentleman’s question, and I hope that he will listen to the answer.

We will be allocating a further £500 million from central Department for Education budgets to schools, to make sure they are able to give these pay rises to our hard-working teachers. In every other case, Departments have been able to find savings in their central budgets to make sure those pay rises are affordable. It is a bit rich getting lectures from the Labour party about affordability when its purported policy, along with overthrowing capitalism and making business the enemy, is to create a run on the pound. I do not know whether the hon. Gentleman can explain how his party could afford public sector pay rises with a run on the pound, but I would like to hear his answer.

The pay rises we are announcing today represent the highest pay rises for almost a decade for public sector workers. We have been able to achieve them because of our management of the economy, because we have seen employment reach a record level and because we are spending less in areas such as welfare, whereas people under the Labour Government were left on the scrapheap. Please can the Labour party welcome the fact that public sector workers are getting a pay rise and that we have scrapped the cap, rather than continuing with their usual Eeyorish nonsense?

Rachel Maclean Portrait Rachel Maclean (Redditch) (Con)
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Like my right hon. Friend, I am rather surprised to hear the noise from the Opposition Benches. If we were to follow the policies of the right hon. Member for Hayes and Harlington (John McDonnell), we would see inflation of 1,000,000%, such as they have in Venezuela—a country that he suggests we all follow the example of. I welcome the pay rises that we will see for teachers in my schools in Redditch. Can my right hon. Friend tell me again how much teachers will receive, and can she emphasise the fact that those on the lowest incomes will receive the most?

Elizabeth Truss Portrait Elizabeth Truss
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My hon. Friend is right; teachers on the lowest incomes will receive the largest rises. All teachers earning less than £35,000 will receive a 3.5% pay rise, and the Secretary of State for Education is making sure that schools have the money to afford that. Teachers in the upper pay range will receive a 2% pay rise.