§ Mr. Chris SmithTo ask the Chancellor of the Exchequer what are his current plans for a review of the 1.5 per cent. limit on public sector pay increases for the next pay round; and what will be the position in that pay round of those employees in the public sector who had been awarded a higher figure than 1.5 per cent. for the present pay round.
§ Mr. DorrellThe Government will review the situation with regard to public sector pay at the appropriate time bearing in mind all the relevant circumstances. Public sector pay is an important part of public expenditure and will have to be kept under tight control.
Under the Government's current approach to public sector pay restraint, every public sector group will be subject to one pay settlement only in the range 0 to 1.5 per cent. Those groups who received settlements in excess of 1.5 per cent. last year in respect of the 1992–93 pay round will have their 1993 settlement constrained appropriately.