Committee publication · Correspondence · 7 July 2026

Letter from Secretary of State for Education on the response to the School Teachers’ Review Body report dated 01.07.26

From: Education Committee

Summary

Secretary of State Bridget Phillipson announces the government's response to the School Teachers' Review Body (STRB) report for 2026/27 and 2027/28. The government accepts in full the STRB's pay recommendations: 3.5% award from September 2026 and 3% from September 2027, plus a 5% uplift for unqualified teachers. The Department will provide £700 million additional funding in 2026-27, rising to £1,115 million in 2027-28, with schools expected to absorb the first 1% of costs through efficiency savings.

Key findings

  • Government accepts full STRB pay recommendations: 3.5% award September 2026, 3% from September 2027, with 5% uplift for unqualified teacher pay floor
  • Department allocating £700 million additional funding for schools 2026-27, rising to £1,115 million in 2027-28 to fund pay awards
  • Schools required to absorb approximately 1% of pay award costs through value-for-money initiatives, with remaining costs funded by government
  • Further education providers receiving £120 million in 2026-27, rising to £365 million in 2027-28; total post-16 funding of £170 million and £535 million across two years
  • Government accepted STRB recommendation for modest non-consolidated recognition payments, but retained 3-year salary safeguarding provision; updating School Teachers' Pay and Conditions Document for INSET day flexibility and leaders' working time protections

Tone

Procedural

Topics

teacher-payschool-fundingpublic-financefurther-educationworkforce-management

Key actors

Bridget Phillipson, Helen Hayes, School Teachers' Review Body, Department for Education, Education Select Committee

Notable line

From September 2026, teachers and leaders will receive a pay award of 3.5%, followed by a further 3% increase from September

Key Quotes

I am accepting in full the independent STRB's pay recommendations for the next two years. From September 2026, teachers and leaders will receive a pay award of 3.5%, followed by a further 3% increase from September
Bridget Phillipson · announcing government's response to STRB report
This additional funding will come from DfE budgets. This significant additional investment, on top of funding increases announced at the 2025 Spending Review, will see the Department fund the majority of these above-inflation pay awards across both 2026-27 and 2027-28 at a national level.
Bridget Phillipson · explaining source and scale of funding for pay awards
We expect schools to absorb approximately the first 1% of pay awards in both 2026/27 and 2027/28 through implementing plans to realise and sustain better value from their existing spend.
Bridget Phillipson · outlining schools' contribution to pay award costs
… the government has accepted the STRB's recommendation to allow schools the freedom to operate modest, well governed recognition arrangements (non-consolidated payments) as academies currently do.
Bridget Phillipson · detailing additional STRB recommendations accepted
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Source · parliament.uk record ↗