The chancellor will use his Budget on Wednesday to confirm that the 'pay pause' is being lifted.
At least 1.3m public sector workers are set to see their wages rise next year after the government confirmed their pay freeze is being lifted.
He said the pandemic had forced ministers to take extraordinary measures to protect people's jobs and incomes by "targeting our resources at those who need it most".But in an announcement late on Monday, the Treasury said the chancellor would use his forthcoming Budget to say "the solid economic recovery and encouraging signs in the labour market" mean the "pay pause" can be lifted.
"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."The Treasury said the "temporary pause" had helped ensure the gap between public and private sector pay did not widen further during the height of the pandemic.
Ministers will be "running a full pay round and the awards will be announced next year once government responds to the pay review bodies' recommendations", the Treasury added. The government has talked at length in recent weeks about higher wages being an antidote to rising prices and a crucial part of the economic recovery.
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