Pay and benefits
After holding steady at 3% for much of 2025, the UK's median basic pay award edged up to 3.3% in the latest quarter - lifted by a wave of public-sector settlements. As employers await clarity from the Autumn Budget and a potential Bank of England interest rate cut, confidence in pay-setting remains cautious but steady.
Pay awards have now held at 3% for much of 2025 - the new normal for UK pay settlements. The latest Brightmine analysis confirms another period of steady outcomes and limited change across sectors.
Pay awards have been stable throughout 2025, but lower than seen in the previous two years. We now take stock of the pay setting environment and look ahead to likely activity in 2026.
To help guide your 2026 pay award planning, explore when pay settlements typically take effect across the economy.
Pay awards have cooled in the last 12 months, with the majority of deals being lower than those given in the previous year. As organisations navigate tighter budgets and shifting market pressures, this report reflects on the pay awards delivered in the last year, as collected by Brightmine.
Pay awards show little sign of movement, as the median basic settlement stays fixed at 3% over the summer. The latest analysis highlights a continuation of the stability seen throughout 2025.
As inflation dipped in 2025, the value of pay awards followed suit. We look at our pay settlement data in detail to reveal the differences between sectors and industries over the past year.
Fewer employees are receiving bonuses, but for some, the rewards remain significant. We explore how bonus value and access varies across job function and level, organisation sector and location, and individual characteristics like age and gender.
Pay award levels have remained consistent throughout 2025 so far and show no sign of moving. The latest Brightmine pay award analysis explores the trends in pay deals, as organisations and collective bargaining units continue to settle for 2025.
Standing steady at a 3% median, pay awards have remained consistent so far in 2025. As public-sector pay deals have started coming into effect, we are seeing these awards remain higher than the private sector, a trend we have recorded consistently since mid-2023.
Survey analysis: HR and legal information and guidance relating to pay and benefits.