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NHS leaders have written to Steve Barclay urging him to fully fund the rise.

The government has confirmed they will only increase funding to so-called statutory NHS organisations for this year’s NHS pay rise.

This means that “non-statutory” organisations such as; primary care services, charities, social enterprises, Community Interest Companies, independent healthcare providers, nursing and care homes will have to find money from already stretched budgets.

It also leaves a funding gap for NHS staff employed by NHS trusts delivering public health contracts commissioned by local authorities such as school nurses and children’s centres.

Health and care leaders have wanted these organisations will struggle to cover the significant increase in staffing costs, meaning the government’s pledge that patient care will be unaffected is set to be broken.

While all staff on Agenda for Change (AfC) contacts will get the rise, these organisations could face bills of up to £6m to pay for the uplift.

The NHS Confederation has written to the Secretary of State for Health and Social Care Steve Barclay urging him to take action.

It must be fully funded for all staff.

Chief executive of the NHS Confederation Matthew Taylor, explains: “While the 2023 pay uplift has been welcomed and may with help with retention issues, it must be fully funded for all staff.

“The NHS is more than just hospitals, consisting of a range of vital services patients rely on including mental healthcare, primary care, district nurses and therapists, all of which are contracted indirectly.

“The current arrangement for central funding might see staff at these services miss out and risks the creation of an unequitable, two-tier system for different staff.”

Mr Taylor continued, “Providers are currently facing the unenviable choice between finding additional savings – likely through cuts to services – to fund the rise, or not implement the raise and risk staff leaving, leaving patients worse off.

A similar oversight was made with the pay rise in 2018, but the government eventually solved this by agreeing to cover it via central budgets. We urge the government to review its position and agree to fund the pay award for all staff on AfC terms and conditions, including those on local authority contracts. Failure to do so risks undermining the pledge that patient care will be unaffected.”

NHS workers in England are set to see the rise implemented in their June pay packets.

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