HC Deb 16 July 1987 vol 119 c626W
Mr. Kirkwood

asked the Secretary of State for Social Services what is his estimate of the net cost to public funds, taking into account additional tax revenue and welfare benefit entitlement, of increasing the gross pay of all nursing grades by (a) 5 per cent., (b) 10 per cent. and (c) 15 per cent.

Mr. Newton

The estimated cost of increasing gross pay for all nursing and midwifery staff in the hospital and community health services in England by 5, 10 and 15 per cent. is:

Percentage increase £ million
5 206
10 412
15 617

Notes:

1. Increases based on estimated paybill for 1987–88 including average 9.5 per cent. pay increase from 1 April 1987.

2. All figures inclusive of employers' national insurance and superannuation costs and agency staff.

3. Assumes employers' costs rise roughly in line with pay.

There is insufficient information on which to base an estimate of the net effect on tax revenue and benefit expenditure.

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