§ Mr. Redwoodasked the Chancellor of the Exchequer if his Department has considered using London weighting style allowances as a form of regional pay; and what recent studies have been conducted by his Department into housing costs and labour market pressures affecting public sector workers within and outside the boundaries for payments of London weighting allowances.
§ Mr. BrookeIn addition to London weighting the Civil Service pay arrangements already permit variation in pay rates, according to the locality of the office, through special pay additions. Other recent developments have ben the new agreement with the Institution of Professional Civil Servants on flexible pay, and changes in the financial package offered when civil servants move location, which now takes more account of variations in house prices across the country.
The Treasury and the MPO monitor relevant developments and their effect on recruitment and retention. Proposals are under consideration to address problems of recruitment and retention where they exist in London, the south-east and other particular areas.