Brown warns over prison pay deal

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Gordon Brown stood firm in the face of Wednesday's wildcat walkout by 20,000 members of the Prison Officers Association (POA) and insisted that staging public sector rises was "essential" to keep inflation under control.

He made it clear that the Government would not do anything which put economic stability "at risk".

Fresh talks will be held on Friday between POA leaders and Justice Secretary Jack Straw in a bid to break the deadlocked row over pay after the Government decided to bring in a 2.5% award in two stages, reducing the value to 1.9%.

But Mr Brown - who was responsible for the decision to stagger the pay deal as chancellor - signalled that he was not willing to back down on the crucial issue.

"We have succeeded in tackling inflation and having a stable economy because of discipline in pay over the last 10 years. That discipline will have to continue," he said on a visit to a health clinic in central London.

"Staging of pay awards is an essential part of the economy to ensure we have stability and so that can continue," he said. "We will not do anything to put that at risk."

Shadow Work and Pensions Secretary Chris Grayling responded: "When you hear Gordon Brown talking tough to the unions, you always have to remember to read the small print.

"The truth is that he is heavily dependent on the unions to fund the Labour Party and his general election plans, and the growing signs of union militancy are a clear sign that they want something back from him in return."

The Government also staged a 2.5% pay award for NHS staff but have moved to head off a strike by offering extra money to lower-paid workers.