Decision

Pay Progression Policy 2026/27

Decision Maker: Cabinet

Outcome: Recommendations Approved

Is Key Decision?: No

Is Callable In?: No

Date of Decision: February 11, 2026

Purpose:

Content: Decision   RESOLVED that Cabinet approved the financial implications of the revised Pay Progression Policy in Appendix 1 with effect from 1 April 2026.   Reasons for decision   The EELGA review of the Pay and Grading Structure had highlighted that the Council’s current Pay Progression Policy contained delays in progression to the Market Related Point (MRP) and lacks clear mechanisms for progression beyond the MRP. Revising the policy ensures that staff progression is more transparent, timely, and aligned with performance.   The revised Pay Progression Policy simplifies pay progression by removing the separate Individual Salary Review Scheme and incorporating annual incremental progression to the MRP, alongside mechanisms for progression beyond the MRP for exceptional performance. This aligns with recommendations in the EELGA report and addresses feedback from staff regarding progression timelines.   Implementing the revised policy is expected to support recruitment and retention by ensuring pay is competitive and progression is equitable, thereby helping the Council address current workforce challenges and improve staff satisfaction.   Alternative Options Considered   Do nothing / retain current policy – Retaining the current policy would maintain the three-year waiting period for progression to the MRP and the biennial Individual Salary Review Scheme. This does not address staff concerns around pay progression and may exacerbate recruitment and retention challenges particularly as we move towards Local Government Reorganisation. Partial revision – Amend only certain aspects of the Pay Progression Policy, such as shortening the progression period to the MRP without addressing progression beyond the MRP. This would improve some staff satisfaction but may not fully simplify the policy or provide clear incentives for exceptional performance. Comprehensive overhaul (full redesign of pay and grading) – A full review of pay grades, pay scales, and progression could be undertaken. While this could address all weaknesses identified in the EELGA report, it would require significant time and resources, create uncertainty for staff, and may not be feasible within the timeframe prior to Local Government Reorganisation. Move to National Joint Council (NJC) pay scales – The Council could consider adopting NJC pay scales to align with the national framework used by most local authorities in England and Wales. Adopting NJC pay scales would reduce the Council’s flexibility to set pay levels based on local circumstances, including affordability and recruitment and retention pressures. NJC pay awards are often agreed late in the financial year, which could create delays in implementing annual pay increases and reduce predictability for staff. A transition to NJC would require a comprehensive review and redesign of current pay and grading structures, resulting in significant administrative burden, potential disruption for staff, and additional short-term costs. Given Local Government Reorganisation, a full-scale transition to NJC pay scales at this time is not considered feasible or prudent.  

Supporting Documents

20260211CAB-CAB2688- Pay Progression Policy 2026-27.pdf
20260211CAB-CAB2688-App1-Pay Progression Policy.pdf
20260211CAB-CAB2688-App3-EELGA Pay Grading Structure Report.pdf
20260211CAB-CAB2688-App4-Equality Impact Assessment.pdf
20260211CAB-CAB2688-App2-Example revised payscale.pdf

Related Meeting

Cabinet - Wednesday, 11 February 2026 - 6.00 pm on February 11, 2026