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Rishi Sunak has hinted he will ignore recommendations for public sector pay rises, saying workers “need to recognise the economic context we are in”.

Reports surfaced over the weekend that the prime minister planned to block upcoming proposals from public sector pay bodies in an attempt to tackle soaring inflation in the country.

And health minister Helen Whately refused to commit to the uplift during an interview with Sky News on Monday morning.

Unions and opposition parties have hit out at the rumoured decision, saying inflation was not being driven by the wages of nurses and teachers, but by the economic decisions taken by the Conservatives over their 13 years in power.

Politics live: ‘Seriously?’ – Labour responds to lack of commitment on pay rises

Asked by broadcasters today whether public sector pay was a major driver of inflation, Mr Sunak said: “Government borrowing is something that would make inflation worse, so the government has to make priorities and decisions about where best to target our resources.

“And that’s why when it comes to public sector pay, we need to be fair, but we need to be responsible as well.”

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Pay review bodies or PRBs take evidence from across sectors like the NHS and education each year, as well as submissions from government, before saying what wage rises should be introduced for the following 12 months.

Amid anger from unions about the figures failing to match inflation last year, Health Secretary Steve Barclay insisted it was right for ministers to “continue to defer to that process to ensure decisions balance the needs of staff and the wider economy”.

The PRBs’ recommendations are expected to be published next month, alongside formal pay offers, with reports claiming they could be around 6% for the health service and 6.5% for teachers.

But while being questioned on public sector pay, Mr Sunak said: “It is important that we don’t make the inflation situation worse and it is important we prioritise the things that are right.

“I am making the decisions that are right for the long term and that is what I am going to continue doing.”

Government pay position offers Labour opportunity and challenge


Tamara Cohen

Tamara Cohen

Political correspondent

@tamcohen

The government’s wavering position on NHS pay presents Labour with both an opportunity and a challenge.

On the plus side, they can point to the fact the position of ministers seems at odds with what they were saying back in December.

Then, the government argument went that it was not for them to decide how much nurses, teachers, or police officers should be paid because this is determined by independent pay review bodies.

Now, they are suggesting the opposite – with health minister Helen Whately the latest to refuse to commit to following recommendations if the government judges they are not affordable.

Labour’s Emily Thornberry was withering in her interview with Sky News this morning: “I mean, seriously – do they really have a policy at all?”

Highlighting government inconsistency on political issues of this sort is exactly what you would expect an opposition party to do.

But it’s not entirely straightforward for Labour. They know there are questions that follow which could be challenging for the party.

Would they commit, for example, to following all pay review body recommendations in power?

Around half of public sector workers are covered by them (civil servants are not), but they are not binding, although Conservative governments have ignored their recommendations more than Labour did in power.

And given Labour agrees with the government that inflation needs to come down, and agrees with the Bank of England that interest rates needed to rise – how comfortable will they be supporting potentially inflationary public sector pay hikes?

The reports come while strike action by junior doctors over pay and conditions continues, with unions planning a five-day walk out next month.

Calling for pay restoration equating to a 35% rise, the British Medical Association (BMA) said wages had decreased by more than a quarter since 2008 when inflation was taken into account, and many doctors were burnt out from an increasing workload.

But when asked why he wouldn’t pay the profession more, the PM hit out at the industrial action and called the BMA’s demands “totally unreasonable”.

Mr Sunak said: “I think everyone can see the economic context we are in, with inflation higher than we’d like it, and it is important in that context that the government makes the right and responsible decisions in things like public sector pay.

“It is very disappointing that junior doctors have taken the decision that they have done. Over half a million people’s treatments have already been disrupted and I don’t think anyone wants to see that carry on – it’s just going to make it harder to bring waiting lists down.

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Labour MP Emily Thornberry has accused the government of “vacillating” between paying attention to public sector pay review bodies or not.

He added: “And I think people need to recognise the economic context we are in, and I am going to make the decisions that are the right ones for the country.

“That’s not always easy, people may not like that, but those are the right things for everybody, that we get a grip on inflation, and that means the government not excessively borrowing too much money and being responsible with public sector pay settlements.

“That is what I am going to do and I would urge everyone to see that is the right course of action.”

Last week, the Office for National Statistics confirmed inflation was stuck at 8.7% and the Bank of England raised interest rates to 5% – a 15-year high.

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China dominates renewables – and this project shows why

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One year on from Donald Trump’s election win, an untold story has emerged

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One year on from Donald Trump's election win, an untold story has emerged

It’s a year since the US put Donald Trump back in the White House and I’ve spent this anniversary week in Florida and in Pennsylvania – two worlds in one country where I found two such contrasting snapshots of Trump’s America.

There are many ways to reflect on the successes and failures of the past year. Different issues matter to different people. But the thing which matters to all Americans is money.

The cost of living was a key factor in Donald Trump’s victory. He promised to make the country more affordable again. So: how’s he done?

On Wednesday, exactly a year since Americans went to the polls, the president was in Miami. He had picked this city and a particular crowd for his anniversary speech.

I was in the audience at the America Business Forum as he told wealthy entrepreneurs and investors how great life is now.

“One year ago we were a dead country, now we’re considered the hottest country in the world.” he told them to cheers. “Record high, record high, record high…”

The vibe was glitzy and wealthy. These days, these are his voters; his crowd.

“After just one year since that glorious election, I’m thrilled to say that America is back, America is back bigger, better, stronger than ever.” he said.

“We’ve done really well. I think it’s the best nine months, they say, of any president. And I really believe that if we can have a few more nine months like this, you’d be very happy. You’d be very satisfied.”

There was little question here that people are happy.

Liz Ciborowski says Trump has been good for the economy
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Liz Ciborowski says Trump has been good for the economy

“Trump’s been a good thing?” I asked one attendee, Liz Ciborowski.

“Yes. He has really pushed for a lot of issues that are really important for our economy,” she said.

“I’m an investor,” said another, Andrea.

“I’m a happy girl. I’m doing good,” she said with a laugh.

Andrea says she's happy with how the economy is faring
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Andrea says she’s happy with how the economy is faring

A year on from his historic victory, the president was, notably, not with the grassroots folk in the places that propelled him back to the White House.

He had chosen to be among business leaders in Miami. Safe crowd, safe state, safe space.

But there was just one hint in his speech which seemed to acknowledge the reality that should be a concern for him.

“We have the greatest economy right now,” he said, adding: “A lot of people don’t see that.”

That is the crux of it: many people beyond the fortunate here don’t feel the “greatest economy” he talks about. And many of those people are in the places that delivered Trump his victory.

That’s the untold story of the past year.

A thousand miles to the north of Miami is another America – another world.

Steelton, Pennsylvania sits in one of Donald Trump’s heartlands. But it is not feeling the beat of his greatest economy. Not at all.

At the local steel union, I was invited to attend a meeting of a group of steel workers. It was an intimate glimpse into a hard, life-changing moment for the men.

The steel plant is shutting down and they were listening to their union representative explaining what happens next.

David Myers used to be employed at the steelworks
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David Myers used to be employed at the steelworks

The conversation was punctuated with all the words no one wants to hear: laid off, severance, redundancy.

“For over 100 years, my family has been here working. And I was planning on possibly one day having my son join me, but I don’t know if that’s a possibility now,” former employee David Myers tells me.

“And…” he pauses. “Sorry I’m getting a little emotional about it. We’ve been supplying America with railroad tracks for over a century and a half, and it feels weird for it to be coming to an end.”

Cleveland Cliffs Steelton plant is closing because of weakening demand, according to its owners. Their stock price has since surged. Good news for the Miami crowd, probably. It is the irony between the two Americas.

Read more US news:
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Steelton in Pennsylvania
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Steelton in Pennsylvania

Down at the shuttered plant, it’s empty, eerie and depressing. It is certainly not the image or the vision that Donald Trump imagined for his America.

Pennsylvania, remember, was key to propelling Trump back to the White House. In this swing state, they swung to his promises – factories reopened and life more affordable.

Up the road, conversations outside the town’s government-subsidised homes frame the challenges here so starkly.

“How much help does the community need?” I asked a man running the local food bank.

Elder Melvin Watts is a community organiser
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Elder Melvin Watts is a community organiser

“As much as they can get. I mean, help is a four-letter word but it has a big meaning. So help!” community organiser Elder Melvin Watts said.

I asked if he thought things were worse than a year ago.

“Yes sir. I believe they needed it then and they need it that much more now. You know it’s not hard to figure that out. The cost of living is high.”

Nearby, I met a woman called Sandra.

Sandra says it's getting harder to make ends meet
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Sandra says it’s getting harder to make ends meet

“It’s been harder, and I’m a hard-working woman.” she told me. “I don’t get no food stamps, I don’t get none of that. You’ve got to take care of them bills, eat a little bit or don’t have the lights on. Then you have people like Mr Melvin, he’s been out here for years, serving the community.”

Inside Mr Melvin’s food bank, a moment then unfolded that cut to the heart of the need here.

A woman called Geraldine Santiago arrived, distressed, emotional and then overwhelmed by the boxes of food available to her.

“We’ll help you…” Mr Melvin said as she sobbed.

Geraldine's welfare has been affected by the shutdown
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Geraldine’s welfare has been affected by the shutdown

Geraldine is one of 40 million Americans now not receiving the full nutritional assistance programme, known as SNAP, and usually provided by the federal government.

SNAP benefits have stopped because the government remains shut down amid political deadlock.

I watched Geraldine’s rollercoaster emotions spilling out – from desperation to gratitude at this moment of respite. She left with a car boot full of food.

A year on from his victory, Donald Trump continues to frame himself as the “America First” president and now with an economy transformed. But parts of America feel far, far away.

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Pirates firing machine guns and rocket-propelled grenades board tanker off Somalia coast

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Pirates firing machine guns and rocket-propelled grenades board tanker off Somalia coast

Pirates firing machine guns and rocket-propelled grenades have boarded a tanker off the coast of Somalia.

Greek shipping company Latsco Marine Management confirmed its vessel, Hellas Aphrodite, had been attacked in the early hours of Thursday.

The tanker, which was carrying fuel, was en route from India to South Africa when a “security incident” took place, the firm said.

“All 24 crew are safe and accounted for and we remain in close contact with them,” it added in a statement.

The crew members took shelter in the ship’s “citadel”, or fortified safe room, and remain there, an official from maritime security company Diaplous said.

The United Kingdom Maritime Trade Operations (UKMTO) agency issued an alert to warn ships in the area.

It located the vessel 560 nautical miles southeast of Eyl, Somalia, in the Indian Ocean. Eyl became famous in the mid-2000s as the centre of a string of piracy attacks.

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“The Master of a vessel has reported being approached by one small craft on its stern. The small craft fired small arms and RPGs [rocket-propelled grenades] towards the vessel,” UKMTO said in a statement.

EU forces move in on tanker

The European Union’s Operation Atalanta, a counter-piracy mission around the Horn of Africa, said one of its assets was “close to the incident” and “ready to take the appropriate actions”.

That EU force has responded to other recent pirate attacks in the area and had issued a recent alert that a pirate group was operating off Somalia and assaults were “almost certain” to happen.

Private security firm Ambrey has claimed that Somali pirates were operating from an Iranian fishing boat they had seized and had opened fire on the tanker.

Read more from Sky News:
The secrets behind the return of ISIS
Somalia is ‘safer’ than Nuneaton
ISIS militants on death row in Somalia

Pirate gangs resume attacks

Thursday’s attack comes after another vessel, the Cayman Islands-flagged Stolt Sagaland, found itself targeted in a suspected pirate attack that included both its armed security force and the attackers shooting at each other, the EU force said.

The vessel’s operator Stolt-Nielsen confirmed there was an attempted attack, early on 3 November, which was unsuccessful.

Somali pirate gangs have been relatively inactive in recent years. In May 2024, suspected pirates boarded the Liberian-flagged vessel Basilisk. EU naval forces later rescued the 17 crew members.

Meanwhile, the last hijacking took place in December 2023, when the Maltese-flagged Ruen was taken by assailants to the Somali coast before Indian naval forces freed the crew and arrested the attackers.

Hellas Aphrodite was en route from Sikka, India, to Durban, South Africa.

The Malta-flagged tanker is described as an oil/chemical tanker, 183m long and 32m wide, which was built in 2016, according to vesselfinder.com.

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