Funding for proposals in Wales
This deal, if agreed, will not come at the expense of jobs or patient care.
After years of pay caps and freezes, campaigning by NHS trade unions finally paid off. In last November’s UK budget, the Chancellor announced there could be new money available for NHS pay and changes to pay structure if agreement could be reached with employers and the unions.
Agreement was reached in England in June, unlocking the opportunity and funding for Wales negotiations on whether and how the revised pay structure would be implemented for NHS in Wales’s staff.
The Welsh government gets a proportion of all public sector spending in England. This amount is worked out by the Barnett Formula. The Welsh Government has agreed that this additional funding will be used for NHS pay.
Unfortunately due to flaws in the Barnett formula and due to high levels of outsourcing of services in England the additional monies would not fully fund the implementation of the English deal in Wales.
Following extensive talks the Welsh Government has agreed to fund the same pay proposals as those accepted in England with some additional aspects.