Overview
- The Department for Education, which accepted the School Teachers’ Review Body recommendations on Wednesday, set pay increases of 3.5% from September 2026 and 3% from September 2027.
- Ministers pledged £1.8 billion for schools and £485 million for colleges over two years but said schools must fund the initial 1% of each award from existing budgets.
- The NEU said it is “considering all options” and could run formal ballots for industrial action in the autumn because the settlement is not fully funded.
- The DfE will impose new academy executive pay controls from September, requiring approval before advertising roles above £174,000 and limiting executive rises to the same rates as teachers.
- Unions and school leaders warn the partial funding leaves an estimated shortfall of roughly £460 million that schools must manage locally, which could force cuts, job losses or strains on recruitment despite government claims of a 17% cumulative pay rise since the election.