the interesting thing about the letter is that liz truss is specifically saying that if there are schoolages, we might allow more flexibility there. the pay review bodies have said there are school shortages. where are the shortages? the schoolteachers pay review body last summer against the blu ntest review body last summer against the bluntest warning you could imagine. they said that teacher pay, the comparability with other graduate positions has got worse and that pay was worse for beginner and more experienced teachers. they went on to say that the problem with teacher recruitment and retention posed a risk to an effective education system. in plain english, that teacher shortage is damaging children's dictation. the argument from the government presumably will be we have listened to that and we will accept the recommendation from the pay review body, but your issue now is who will pay for it? with the schools and education authorities will pay for it whether the treasury find extra money. absolutely. it's not a question of the review body making a recommendation. the review body t

we have got liz truss, the secretary to the treasury later the dashwood letter to the pay review bodiescation of how much flexibility and no indication of whether it would be funded. i think teachers, like all other public sector workers, are now ina other public sector workers, are now in a position where their pay has been held down for many years. last year, theresa may said our economy should work for everyone. but if your pay has stagnated for several yea rs your pay has stagnated for several years ina your pay has stagnated for several years in a row and fixed spending items keep going up, it doesn't feel like it's working for you and that's the way it feels for teachers at the moment. you access it feels like that for a lot of people in the public and private sector. the interesting thing is perhaps, about the letter, liz truss is very specifically saying that if there are skills shortages, we will perhaps allow more flexibility there. the pay review bodies have said, particularly with education, there are skills shortages, where are the shortages? and school teachers pay review

liz truss speaking earlier today.issioned by the public sector commissioned by the government of the time. joining me now from westminster is the economist will hutton. thank you forjoining us. can we ask your thoughts on the way that the award has been shaped? well... firstly i think there has been a seven—year pay cap, i think public sector pay in the round has seriously lagged the growth of private sector pay, even allowing for some of the advantages of public sector work, job security, reduced pension benefits. you're getting recruitment problems. in the police particularly, prison officers particularly. that's also the case with teachers. so there needed to be, there had to be some increased ability in these pay review bodies to make recommendations reflecting what was going on in the market that the government wouldn't reject outright. so this is a welcome moment for public services in the uk. and the quality public services. i know that people say that should be more, but this wouldn't have happened, i think, b

the chief secretary to the treasury, liz truss, said their decision aimed to strike a balance between being fair to the taxpayer. we've always been very clear that we need to strike a balance between being fair to the public sector workers, making sure that we recruit the best possible people, and also that we hold onto them in the public services. and we've looked at the evidence, we've been working on this over the summer, and we feel now is the time to move to a more flexible approach, to make sure we do deal with any issues we've got in the public services so we can continue to have world—class services. now, this is going to cost billions. you said that it will not come with additional money, that it will come out of existing budgets. isn't that simply going to require cuts elsewhere, putting pressure on police and crime commissioners, for example, to perhaps have to cutjobs? i think you're prejudicing the work that is going to go on. the pay review bodies are going to collect independent evidence. there are specific issues in specific workforces and what we are doing is moving a

what we know is that if you look at the letter liz last —— liz truss has sent, there is something missingney going to come from? there is central funding. that means it'll be coming from existing budgets and that is more cuts to front line services. from existing budgets and that is more cuts to front line servicesm it the case though that this is an opening move by the government that could signal a softening in what up until now has been a fairly stern sta nce until now has been a fairly stern stance on pay? we don't agree that in the gmb. 0nly stance on pay? we don't agree that in the gmb. only 45% of the total public sector workforce is covered bya public sector workforce is covered by a pay review body. 55% of public sector workers, something in the range of 3 million workers, are not covered and there has been absolutely no announcement. they have been silent on what will happen to them and their pay. we have to put that into context. 0n to them and their pay. we have to put that into context. on average, a public sector worker has lost something in the region of £9,000 in the last

in a letter published today, liz truss, the chief secretary to the treasury, said while pay discipline, public sector workers deserved to have fulfilling jobs that are fairly rewarded. ministers have previously said that pay recommendations needed to stay within a 1% average cap in line with other public sector pay. let's talk to the editor of school week, laura mcinerney. thank you forjoining us. where, in particular, is there a skills shortage in the teaching profession? we are seeing shortages across the board but in particular there are problems around modern languages and foreign languages and maths and physics. maths and physics have long been a problem but the problem is acute for languages as well because the government wants more children doing that at gcse level. how much has do with the compared to it being an attractive occupation? when teachers leave the profession they tend to go intojobs teachers leave the profession they tend to go into jobs that pay less, so some tend to go into jobs that pay less, so some of the reasons why we do not have teachers is not to do with pa

as 1% average cap in line with other public sector pay but the chief secretary to the treasury, liz trussthat well—paid discipline is needed, public sector workers need to have the filling jobs that are barely —— fairly rewarded. ukip have announced their new leader. he secured only 30% of the vote from the party ‘s members. you will be the fourth leader of ukip in under a year. at the party's annual conference he set out what he believed the party's future direction should be. today is not only a crucial day for a party. it is a critical day for our country. and we've already heard today from a number of speakers of the importance of holding the government to task for the delivery 0n that mandate that they were given on the 23rd ofjune last which so far they have failed to deliver anything on. ladies and gentlemen, brexit is our core task. applause however, it is not the end of the line. when we leave the european union, that is not the end of the story. we're leaving the european union because we as a nation wants to have that right of self—determination. we want to be responsible for o

liz truss there explaining why the government decided to act now.raints as being an essential prart of the government's commitment to deficit reduction, but recognising that there needs to be some flexibility, certainly this is what downing street is indicating that next year when other work places, teachers, nurses, for example, their pay is reviewed, that the government is suggesting they'll move on that. i think with labour still arguing for pay increases across—the—board and the unions threatening strike action, despite this increase, i think this is certainly not the end of the story. we were talking about the potential rises on offer here. let's talk particularly about police officers because it's emerged in fact that the home office was advised to award police officers a full 2% increase. let's find out more from our home affa i rs let's find out more from our home affairs correspondent, danny shaw. explain what has happened? the police remuneration review body is the independent body which takes representations from the home 0ffice, represen