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Millions of nurses, teachers and members of the armed forces will receive a pay rise next April as Rishi Sunak unfreezes public sector pay in the budget.

In his second pay giveaway in 24 hours, after announcing a rise in the national living wage, the chancellor confirmed he is ending a one-year COVID freeze imposed last November.

The size of the pay rises will depend on recommendations from independent pay review bodies, which set pay for frontline workforces including nurses, police, prison officers and teachers.

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What can we expect from the budget?

The Treasury says the government will be running a full pay round and the awards will be announced next year once ministers respond to the pay review bodies’ recommendations.

Announcing his latest budget pay boost, Mr Sunak said: “The economic impact and uncertainty of the virus meant we had to take the difficult decision to pause public sector pay.

“Along with our Plan for Jobs, this action helped us protect livelihoods at the height of the pandemic.

“And now, with the economy firmly back on track, it’s right that nurses, teachers and all the other public sector workers who played their part during the pandemic see their wages rise.”

More on Budget 2021

The chancellor says his temporary pay pause in November helped protect jobs at a time of crisis during the pandemic, but also ensured the gap between public and private sector pay did not widen further.

The Treasury also says that despite the public sector pay freeze, more than a million NHS workers received a 3% pay rise in 2021/22, meaning an average nurse will now receive around an additional £1,000 a year.

Mr Sunak signalled that pay rises for public sector staff were on the way in a Sunday TV interview when he said he would set out a “new pay policy” in his budget on Wednesday.

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Minimum wage increase criticised

Asked if public sector workers could expect pay increases, the chancellor said: “That will be one of the things that we talk about in the spending review.”

According to the Treasury, public sector average weekly earnings rose by 4.5% in 2020/21 while private sector wage increases were a third lower than they were pre-pandemic, at only 1.8%.

But the government claims that despite the one-year break, most public sector workers will still see their earnings rise and their weekly earnings have increased by an average of 3% since April.

The news on public sector pay follows the Treasury’s announcement that the national living wage will increase from £8.91 to £9.50 an hour from next April, an extra £1,000 a year for a full-time worker.

Young people and apprentices will also see their wages boosted as the national minimum wage for people aged 21-22 goes up to £9.18 an hour and the apprentice rate increases to £4.81 an hour.

The living wage increase was the latest in a blizzard of pre-budget announcements by the Treasury in recent days which provoked an explosion of anger in the Commons from Speaker Sir Lindsay Hoyle.

“At one time ministers did the right thing if they briefed before a budget – they walked,” he told MPs with his voice trembling with rage.

As MPs shouted “resign!”, Sir Lindsay went on: “Yes absolutely, resign. It seems to me we’ve got ourselves in a position that if you’ve not got it out five days before it’s not worth putting out.

“It’s not acceptable and the government shouldn’t try to run roughshod over this house. It will not happen!”

Follow budget coverage live on Sky News on Wednesday with the chancellor’s announcement from 12.30pm

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Bahamas wants to force banks to support its ‘Sand dollar’ CBDC

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Bahamas wants to force banks to support its ‘Sand dollar’ CBDC

The Bahamas was one of the first countries in the world to launch a central bank digital currency — the “Sand Dollar” in 2020 — and is now looking for ways to boost its adoption.

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Tory minister says there should be ‘no space’ for Nigel Farage in his party – and hints at leadership bid

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Tory minister says there should be 'no space' for Nigel Farage in his party - and hints at leadership bid

A government minister has said there should be “no space” for Nigel Farage in the Conservative Party – as he hinted he may run for Rishi Sunak’s position after the election.

Steve Baker, the minister for Northern Ireland, acknowledged the troubles currently facing the Conservative campaign and that he did not want to pre-empt Rishi Sunak standing down after the election.

But speaking to the Politics Hub with Sophy Ridge, Mr Baker said that while his party would “love to win”, people would “guffaw if they looked at the polls and then saw me come on here and say that I thought we were going to win”.

Asked if he harboured his own leadership ambitions, Mr Baker said he would “like to be on the government benches with Rishi as prime minister.”

‘I wouldn’t rule it out’

But pressed on whether he would rule out a leadership bid, he added: “I wouldn’t rule it out.

“The reality is that my colleagues have sent for me before the referendum, after the referendum, during COVID and over net zero.

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Election latest: Farage told to ‘shut down Reform’ if he wants to lead Tories

“And on all four occasions, I’ve led actual MPs to a great degree of success – and I wouldn’t mind the chance to do it again”.

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Race slur hits Reform UK campaign

Mr Baker is one of a number of Tories who are likely to run to replace Mr Sunak in the event the polls are proved correct and he loses the keys to Downing Street.

A fresh debate raging in the Conservative Party is whether it should embrace Reform leader Nigel Farage into the Tory fold – an idea Mr Baker rejected but that other leadership hopefuls, including former home secretary Suella Braverman, have welcomed.

Reform setbacks

Some recent polls have put Reform ahead of the Tories – but over the last week Mr Farage’s party has become embroiled in its own scandals – with two of its candidates accused of antisemitic social media posts and another caught making racist comments about Mr Sunak.

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Mr Baker said the Conservative Party must always be “moderate and temperate”.

He said there should be “no space for Nigel Farage in the Conservative Party”, arguing: “A person who has deliberately set out to destroy the Conservative Party cannot subsequently be welcomed into it.”

“Unfortunately, his parties attract a number of people who I would absolutely not allow in the Conservative Party. I’m afraid, you know, Nigel can’t have it both ways. If he wants to be a Conservative, he should shut down his party and join us.”

Earlier today the prime minister insisted he had “absolutely not” given up on winning the election despite repeated repeatedly warning about a Labour “supermajority”.

Speaking while on a visit to the safe Tory seat of Staffordshire, Mr Sunak said: I’m fighting hard for every vote. I don’t take a single place or person for granted.”

Read more:
How Reform fares on Thursday will also determine the Conservatives fate
Starmer would work with the French far-right as ‘that’s what serious government is’

Mr Baker, who is standing as the Conservative candidate in Wycombe, told the Politics Hub that parts of the Tory campaign had been “embarrassing”.

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Sunak calls Rayner ‘deputy prime minister’

He cited the scandal that has unfolded over bets placed by Conservatives on the date of the election – something that has resulted in an investigation by the Gambling Commission – as well as Mr Sunak’s much-criticised decision to leave D-Day commemorations early.

‘Embarassing campaign’

The Conservatives subsequently dropped support for the candidates caught up in the scandal.

“Elements of the campaign have been embarrassing,” Mr Baker said.

“There’s no point denying that. Yes. Certainly nobody with inside knowledge should be placing a bet. I mean, they bring shame on themselves by doing it.

“He added: “D-Day – I think it was very unfortunate.”

Jonathan Ashworth, Labour’s Shadow Paymaster General, said it was “incredible that less than 60 hours until polling booths open, Tory Ministers are undermining the Prime Minister by boldly flaunting their leadership ambitions on national television”.

“From COVID cronyism to trips to the bookies, these Tories always put self-interest and their own ambition ahead of serving their country. What this shows is that if the Conservatives are given another five years, the chaos will just continue.”

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‘Roaring Kitty’ fraud lawsuit over GameStop drops after 3 days

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‘Roaring Kitty’ fraud lawsuit over GameStop drops after 3 days

A GameStop investor who accused Roaring Kitty of committing securities fraud has voluntarily dropped the complaint “without prejudice” meaning he can file another similar lawsuit again in the future.

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