Pay, Pensions & Pressures On Public Services

27th October 2022

Higher inflation is squeezing household incomes and weighing on the economic recovery. But higher inflation also squeezes public services, whose budgets are fixed in cash terms and are not automatically adjusted in the face of higher cost pressures. Higher than expected public sector pay awards, in particular, are causing budgetary challenges in the NHS, schools, local government, and beyond.

In this event, IFS researchers will examine recent public sector pay awards and how they compare to inflation, what was budgeted for, and what is happening in the private sector. They will then consider what this means for recruitment and retention challenges in the public sector, and what policy might do in response. Finally, they will zoom in to focus on the particular challenges faced by schools.

Presentations will be given by

- Bee Boileau, IFS Research Economist
- Laurence O'Brien, IFS Research Economist
- Luke Sibieta, IFS Research Fellow.
The event will be chaired by Ben Zaranko, IFS Senior Research Economist.