The Bank of England has given its more than 5,000 employees a 4% pay rise along with a 1% salary top-up deal for 2024/25 as part of its aim to retain staff in a competitive jobs market.
The deal, which was intended to match inflation, was accepted by the trade union that represents the bank’s employees. It is a bigger increase than the 3.5% pay rise and 1% top-up that was originally agreed last year, and will take effect as of this month.
According to the bank, additional funding for the pay award will be met through wider costs savings in its overall budget.
A Bank of England spokesperson said: “The bank needs to strike a balance between our own budget constraints, the best use of public funds, the challenges of retaining critical skills, and addressing the cost of living pressures facing our staff. At the same time, our approach needs to be consistent with our overall objective of price stability. As part of the negotiations with the union, the bank agreed a pay award for 2024/25 of 4%. The bank also maintained a 1% increase in non-pensionable benefits, which was implemented last year.”
The Bank of England offers its employees flexible benefit options that include private medical insurance for a partner and children, 25 days of annual leave with the option of buying up to 13 days of additional leave, in-house gym membership, dental and personal accident insurance, life assurance, income protection insurance, a performance award, flexible working, gender neutral family leave benefits, carer’s leave and unpaid career breaks.