HR Committee – 8 January 2026

Pay Policy Statement 2026/27

Purpose	For Review
Classification	Public
Executive Summary	The Localism Act 2011 requires the Council to prepare a pay policy statement for each financial year. The statement must be prepared and approved by the end of March each year.
Recommendation(s)	That HR Committee supports and recommends for approval to Council: a) the changes outlined to Bands One and Two, with effect from the 1 April 2026; and b) the Pay Policy Statement 2026/27.
Reasons for recommendation(s)	We are required to have a pay policy statement in place which sets out the authority’s policies for the financial year relating to: The remuneration of its chief officers, The remuneration of its lowest-paid employees, and The relationship between – (i) the remuneration of its chief officers, and (ii) the remuneration of its employees who are not chief officers.
Ward(s)	All
Portfolio Holder(s)	Councillor Jeremy Heron – Finance and Corporate
Strategic Director(s)	Alan Bethune – Strategic Director Corporate Resources and S151.
Officer Contact	Heleana Aylett Service Manager – Human Resources 023 80 285662 Heleana.aylett@nfdc.gov.uk

INTRODUCTION

1. The Localism Act 2011 requires the Council to prepare a pay policy statement for each financial year.  The statement must be prepared and approved by the end of March each year. A recommended statement for 2026/27 is included at Appendix 1.  The statement details the policies in place from 1 April 2026.

2. Appendix 2 reflects the nationally agreed Pay Award for 2025/26 for Chief Executives, Chief Officers and those covered by the NJC ‘Green book’ (which covers NFDC employees), and the changes for bands 1, 2 and 3 as set out in point 18 of the Pay Policy Statement.

BACKGROUND

3. A pay policy statement must set out the authority’s policies for the financial year relating to:

The remuneration of its chief officers,

The remuneration of its lowest-paid employees, and

The relationship between –

(i) the remuneration of its chief officers, and

(ii) the remuneration of its employees who are not chief officers.

4.    The statement must state –

The definition of “lowest paid employees” adopted by the authority for the purposes of the statement, and

The authority’s reasons for adopting that definition

5. The pay policy for 2026/27 has been set up on the basis of the  organisational structure (the CX, COO, Strategic Director and Assistant Director model).

NATIONAL PAY AWARD FOR 2025/26

6. The Pay Award for 2025/26 has now been agreed for Chief Executives, Chief Officers and NJC Local Government Services (Green Book) employees.  As a result, all NFDC Spinal Column Points up to and including the Chief Executive have been increased by 3.2%.

7. As a result of the national pay award and the changes made to the Council’s pay spine in April 2026, the lowest pay point on the council’s pay structure is now £12.96 per hour. The updated pay structure is shown in Appendix 2.

HR Committee Comments

8. The HR Committee will consider the matter on 8 January 2026.  The Committee’s comments will be reported to the Council in due course.

Corporate plan priorities

9. The pay policy statement is in support of the council's ambition to be an Employer of Choice.

Options appraisal

10. Not applicable

Consultation undertaken

11. Following review and approval by EMT, the Pay Policy Statement will be presented the HR Committee, before ultimate approval by Council.

Financial and resource implications

12. The national pay award and incremental progression are both accounted for within budgets and within the Council Medium-Term Financial Plan.

13. The changes made to support our lowest paid staff in bands 1 and 2 will cost approximately £83,000 per annum and will be accounted for within the Council’s budget planning.

Legal implications

13. The Localism Act 2011 requires the Council to prepare a pay policy statement for each financial year.

Risk assessment

14. Not required

Environmental / Climate and nature implications

15. None

Equalities implications

16. The proposed changes set out at point 18 of the Pay Policy Statement are to be unilaterally applied to employees of all genders.  However, for transparency of the changes and impact across genders, the current gender split within bands 1,2 and 3 are shown in the table below:

	Female	Male	Female %	Male %
Band 1	11	7	61.1%	38.9%
Band 2	7	104	6.3%	93.7%
Band 3	31	62	33.3%	66.7%

Crime and disorder implications

17. None

Data protection / Information governance / ICT implications

18. None

Appendices:	Background Papers:
Appendix 1 – Pay Policy Statement Appendix 2 – Pay Structure	None