NHS workers offered 8% pay deal

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The proposed deal will give over a million staff an increase of 2.75% in the first year, from this month, followed by further increases of 2.4% in 2009/10 and 2.25% in 2010/11.

The offer is the highest in the public sector and is aimed at heading off the threat of industrial action in the health service.

Health Secretary Alan Johnson said a multi-year deal ensured security for staff and stability for the NHS.

The Government said the deal would give nurses a starting salary of more than £20,000 a year for the first time, a 24% increase in real terms since Labour came to power in 1997, while experienced midwives will have an earnings potential of over £32,000, 28% more than a decade ago.

Ministers also announced they had accepted in full the recommendations of a pay review body, to give a 2.2% increase to hospital doctors and 3.4% for dentists, although after an increase in expenses the aim is to see a rise of 2.2%.

Doctors' earnings will rise by 2.2%, said the Department of Health.

Union leaders welcomed the proposed deal and said they would now consult with nurses and other health workers on whether it should be accepted.

The Health Secretary said: "I am extremely proud of the outstanding professionalism of NHS staff and the high level of care they deliver for patients day in, day out.

"Today's announcement recognises their tremendous efforts. A multi-year deal ensures security for staff and allows them to plan for their future and the future of their families."