Teacher pay in England is reviewed annually by the School Teachers' Review Body (STRB), an independent group that makes recommendations to the government on pay and conditions for teachers and school leaders. The 2026/27 pay settlement is a significant moment for the profession, coming after years of real-terms pay erosion that has contributed to recruitment and retention challenges. This article examines the latest settlement, compares it with inflation, and provides historical context showing how teacher pay has changed over the past decade.
The STRB 36th Report
The School Teachers' Review Body published its 36th report on 1 July 2026, covering recommendations for the 2026/27 pay year (from 1 September 2026) and 2027/28 pay year (from 1 September 2027) as part of a new multi-year pay deal. The STRB considered evidence from the Department for Education, teaching unions (including the NEU, NASUWT, NAHT, and ASCL), and independent economic data. Key factors in the STRB's deliberations included the state of teacher recruitment and retention, the competitiveness of teacher pay compared with other graduate professions, and the affordability of any award within school budgets.
The STRB's recommendations must be accepted by the Secretary of State for Education, who can accept them in full, modify them, or reject them. In recent years, the government has generally accepted the STRB's headline recommendations, though the details of funding and implementation have sometimes been contentious.
How the STRB Works
2026/27 Pay Settlement
The government's response to the STRB's 36th report — a 3.5% uplift to all pay ranges from September 2026, with a further 3% confirmed for September 2027 — was accepted in full by the Education Secretary on 1 July 2026. The settlement must be viewed in the context of the previous year's award and the ongoing cost-of-living pressures facing teachers across England. While specific implementation details are confirmed each year in the updated STPCD, the direction of travel has been towards above-inflation awards to begin addressing the erosion of real-terms pay.
Teachers and unions have consistently argued that even above-inflation awards do not fully compensate for the cumulative real-terms loss since 2010. An award of 4% sounds generous, but if inflation has averaged 5-6% over preceding years and earlier awards were below inflation, the gap remains significant. The teaching unions have maintained that a sustained programme of above-inflation awards is needed to restore pay competitiveness and address the recruitment and retention crisis.
Historical Teacher Pay Rises (2015-2026)
The following table shows the headline teacher pay award for each year, alongside the CPI inflation rate for comparison. Where the pay award is lower than inflation, teachers experienced a real-terms pay cut for that year.
| Year | Pay Award | CPI Inflation | Real-Terms Change |
|---|---|---|---|
| 2015/16 | 1.0% | 0.0% | +1.0% |
| 2016/17 | 1.0% | 0.7% | +0.3% |
| 2017/18 | 1.0% - 2.0% | 2.7% | -0.7% to -1.7% |
| 2018/19 | 1.5% - 3.5% | 2.5% | -1.0% to +1.0% |
| 2019/20 | 2.75% | 1.8% | +0.95% |
| 2020/21 | 3.1% (M1 only) | 0.9% | Varied |
| 2021/22 | 0% (pay freeze) | 2.6% | -2.6% |
| 2022/23 | 5.0% | 10.1% | -5.1% |
| 2023/24 | 6.5% | 6.7% | -0.2% |
| 2024/25 | 5.5% | 3.5% | +2.0% |
| 2025/26 | 4.0% | ~2.5% | +1.5% |
| 2026/27 | 3.5% | TBC | TBC |
Cumulative Erosion Since 2010
Real-Terms Pay Analysis
To understand the full picture, it is helpful to look at what specific pay points would be worth today if they had kept pace with CPI inflation since 2010. In 2010, the starting salary for teachers outside London (M1) was approximately £21,588. If this had risen in line with CPI inflation through to 2024, it would be approximately £30,500 in today's money. The actual M1 salary is now £34,069, which suggests that the starting salary has roughly kept pace with inflation — largely due to the government's policy of applying larger increases at the bottom of the pay scale.
However, the picture at the top of the scale has improved with the latest award. A teacher on UPR3 in 2010 earned approximately £36,756. Adjusted for CPI, that would be roughly £52,000 today. The actual 2026/27 UPR3 salary is £52,835 — now marginally ahead of that CPI-adjusted benchmark, though this follows many years where experienced teachers bore a disproportionate share of the real-terms pay erosion described above.
Impact on Recruitment and Retention
The sustained erosion of teacher pay has had measurable effects on the profession. DfE data shows that initial teacher training (ITT) recruitment has missed its target in most subjects for several consecutive years, with particular shortfalls in STEM subjects, modern foreign languages, and computing. Retention data shows that an increasing proportion of teachers leave the profession within their first five years, with pay cited as a significant factor in exit surveys.
The teaching unions argue that competitive pay is essential not just for recruiting new teachers but for retaining experienced ones whose expertise is irreplaceable. The cost of replacing a teacher — including recruitment, induction, and the impact on pupil outcomes during transition — has been estimated at between £10,000 and £30,000, making retention a cost-effective investment.
What This Means for Your Pay
Each year's pay award is applied to the published pay scales in the STPCD. If you are on a specific pay point, your new salary takes effect from 1 September. In many schools, the revised salary is not reflected in your September payslip due to administrative delays, so you may receive a back-payment in October or November that covers the September difference.
Academy trusts set their own pay policies and are not required to match the STPCD award. While many academies do follow the STPCD scales, some set their own rates. If your academy trust does not apply the STRB-recommended increase, you should raise this with your union.
See the current pay scales on our pay scales page and calculate your updated take-home pay with the take-home pay calculator.