The short answer, and what 'real terms' means
In shortPay was ahead of prices in 2018 to 2020, behind in 2021 and 2022, and has since recovered part of the ground; your answer depends on your start date.
The calculation is simple, but the choice of dates and the choice of pay measure change the answer, so we state both every time.
- Real terms
- Pay after adjusting for prices. If your pay rises 4% and prices rise 10%, your pay buys about 5% less than it did a year earlier. If it rises 3.5% and prices rise 3.1%, you are about 0.4 percentage points ahead.
- Our pay measure
- The headline consolidated award recorded by the Prison Service Pay Review Body for the main officer grades, as set out in the award history.
- Our price measure
- The ONS Consumer Prices Index, all items: the CPI index (series D7BT, 2015=100) for cumulative comparisons and the CPI annual rate (series D7G7) for single years, both taken at March because pay awards take effect in April.
The short answer in four stages
- Early yearsModest awards, low inflation
- 2018 to 2020Awards ahead of prices
- 2021 and 2022Prices ran away; pay fell behind
- 2023 to 2026Awards rose faster than prices and began to close the gap
Year by year: award versus CPI
In shortThe real gap is positive in 2018 to 2020 and from 2023, and sharply negative in 2021 and 2022.
The table sets each headline award beside the ONS CPI annual rate in March of the award year and in March of the following year. The first tells you what prices had been doing when the award was set; the second what they did while you were living on it.
The 'real gap' is the headline percentage minus the CPI over the pay year, in percentage points. It is our arithmetic, labelled as such, and it excludes flat-cash and non-consolidated awards.
- Positive gap: 2018 to 2020 and 2023 onwards.
- Sharply negative: 2021 and 2022, when CPI over the pay year was 7.0% and 10.1% against a 0% freeze and a 4% award.
- The 2026 row is provisional: the pay year has not ended, so we use the 3.1% rate for the 12 months to August 2026, the latest ONS figure at the time of writing (the next release is due 21 October 2026).
| Pay year | Headline award | CPI at start (12 months to March of award year) | CPI over the pay year | Real gap, percentage points (our arithmetic) |
|---|---|---|---|---|
| 2014/15 | 1.0% consolidated | 1.6% | 0.0% | +1.0 |
| 2015/16 | 1.8% to Fair and Sustainable maxima | 0.0% | 0.5% | +1.3 |
| 2016/17 | 1.0% to F&S maxima, plus a non-consolidated £300 to £350 | 0.5% | 2.3% | -1.3 |
| 2017/18 | £400 flat cash, consolidated (uniformed grades) | 2.3% | 2.5% | n/a (flat cash) |
| 2018/19 | 2.0% consolidated plus 0.75% non-consolidated | 2.5% | 1.9% | +0.1 |
| 2019/20 | 2.2% consolidated (Band 3 3.0%) | 1.9% | 1.5% | +0.7 |
| 2020/21 | 2.5% consolidated, plus Band 3 base +£2,564 from 1 Sep 2020 | 1.5% | 0.7% | +1.8 |
| 2021/22 | Pay freeze above £24,000 FTE; £250 below | 0.7% | 7.0% | -7.0 |
| 2022/23 | 4.0% consolidated (Bands 3 to 5, 7 to 11) | 7.0% | 10.1% | -6.1 |
| 2023/24 | 7.0% consolidated (Bands 3 to 5); 5.0% Bands 7 to 12 | 10.1% | 3.2% | +3.8 |
| 2024/25 | 5.0% consolidated (Bands 2 to 5, 7 to 12) | 3.2% | 2.6% | +2.4 |
| 2025/26 | 4.0% consolidated (Bands 2 to 5, 7 to 12) | 2.6% | 3.3% | +0.7 |
| 2026/27 | 3.5% consolidated (Bands 3 to 12; Band 2 on top of NLW) | 3.3% | 3.1% (Aug 2026) | +0.4 (provisional) |
Sources: PSPRB 25th Report (Appendices I and J, 2026 recommendations); ONS D7G7. Headline is for main officer grades. Excludes Band 3 structural increases, pay point progression, bonuses and allowances. Our arithmetic.
Cumulative picture: three windows
In shortCompounded, pay was ahead in 2018 to 2020, behind from March 2021, and roughly level over the whole of 2018 to 2026.
Single years mislead, so the next table compounds. We use three windows, each starting with the March CPI index just before the first award in the window.
- Why 'roughly level' is fragile
- It is the product of two good years and a bad one, and it is sensitive to the start date. It also omits the Band 3 base-pay increases the PSPRB recommended in 2020 and 2022 (see the award history; we have not verified how they were implemented), and any Band 4 and 5 differences. Treat it as an order of magnitude, not a verdict.
The three windows
- 2018 to 2020Compounded awards 6.9%
Against CPI of 4.2% (March 2018 to March 2021).
- 2022 to 2026Compounded awards 25.8%
Against CPI of 28.9% (from the March 2021 index; the 2021 freeze is the break), leaving pay about 2.4% behind prices on our arithmetic.
- 2018 to 2026Compounded awards 34.4%
Against CPI of 34.3%, treating the 2021 freeze as 0%, so roughly level.
| Window | Compounded headline awards | Cumulative CPI (March index) | Pay relative to prices (our arithmetic) |
|---|---|---|---|
| 2018/19 to 2020/21 (March 2018 to March 2021) | 6.9% | 4.2% | +2.6% |
| 2022/23 to 2026/27 (March 2021 to March 2026) | 25.8% | 28.9% | -2.4% |
| 2018/19 to 2026/27 (March 2018 to March 2026), freeze counted as 0% | 34.4% | 34.3% | +0.1% |
Compounded headline awards use 2.0% (2018, consolidated only), 2.2%, 2.5%, 0% (2021 freeze), 4%, 7%, 5%, 4%, 3.5%. CPI from ONS D7BT. Our arithmetic; excludes extras and non-consolidated payments.
A worked example: a £30,000 salary since March 2021
In shortAn illustrative £30,000 salary in March 2021 with only the headline awards ends up short of the CPI-adjusted level.
Take an illustrative officer paid £30,000 in March 2021, and assume the headline consolidated awards were all they received (so no Band 3 extras, no progression, no change of hours). Applying 4%, 7%, 5%, 4% and 3.5% in turn gives £31,200, £33,384, £35,053, £36,455, £37,731 after the 2022, 2023, 2024, 2025 and 2026 awards respectively.
To have kept pace with CPI from the March 2021 index (109.4) to the March 2026 index (141.0), that same salary would need to be about £38,665. The illustrative figure of £37,731 is therefore about £934 short, or about 2.4% below the CPI-adjusted level. The numbers are an arithmetic illustration, not anyone's real pay.
| Step | Headline award | Illustrative salary | Salary needed to match CPI to that March (our arithmetic) |
|---|---|---|---|
| March 2021 | n/a | £30,000 | £30,000 |
| After the 2022 award | 4.0% | £31,200 | £32,112 |
| After the 2023 award | 7.0% | £33,384 | £35,347 |
| After the 2024 award | 5.0% | £35,053 | £36,472 |
| After the 2025 award | 4.0% | £36,455 | £37,431 |
| After the 2026 award | 3.5% | £37,731 | £38,665 |
Illustrative only. The CPI-adjusted column applies the March CPI index to the March 2021 salary and compares it with the salary after each April award. Awards take effect after the March index date, so each row compares the award with prices up to the month before it started. Our arithmetic.
The 2026/27 award against today's inflation
In shortThe 3.5% award is slightly ahead of current CPI readings, but one year does not undo earlier losses.
- 2026/27 award3.5%Effective 1 April 2026
- CPI, March 20263.3%Award ahead by 0.2 points
- CPI, August 20263.1%Award ahead by 0.4 points; next release 21 October 2026
ONS reports CPI at 3.3% in March 2026, 2.8% in April, 2.6% in June, 2.9% in July and 3.1% in August 2026 (the latest figure at the time of writing). For Band 3 and Band 5 staff who also moved a pay point, the year's rise is larger; our 2026/27 pay rise guide quantifies it.
Band 2 is a separate case. The Band 2 spot rate rose by the 3.5% award on top of the National Living Wage uplift of 4.1% to £12.71 an hour from 1 April 2026.
The Band 2 base rose from £24,527 to £25,409 over the year on the published tables (that is 3.6% on our arithmetic, because the NLW-only step in the PSPRB table is £24,549, and the 3.5% applies on top of that).
What the headline does not capture
In shortFive things move your real pay that the headline award does not show, so the real gap is a floor on the complexity, not a verdict on your pay.
Any real-terms analysis of a single percentage is incomplete. The five items below are the ones we know of.
The tax point is general and we have not modelled it per grade. For take-home figures by band, see take-home pay by band.
- Pay point progression: Band 3 and Band 5 staff in post on 31 March who are not on formal poor performance procedures moved up one pay point on 1 April 2026, and the HMPPS objective is to reach the maximum within three years.
- Band 3 structural increases, such as the £2,564 base uplift the PSPRB recommended from September 2020 and the £3,000 element in its 2022 recommendations, where implementation is not verified here.
- Allowances: Payment Plus rose from £22 to £23 an hour in 2026 after being unchanged since 2016, a rise of 4.5% in cash terms, but CPI over the ten years from March 2016 to March 2026 rose 40.7% on the ONS index.
- Non-consolidated payments, such as the £1,500 PEI payment, market supplements of £1,500 to £3,500 at 18 prisons, and the 2015, 2016 and 2018 one-offs, which do not raise base pay or, in the case of supplements, are non-pensionable and subject to gradual erosion.
- Tax and National Insurance: the personal allowance is £12,570 in 2026/27, the same level as in 2021/22, so a pay rise that merely matches inflation pulls more income into higher tax bands; see prison officer tax and National Insurance.
How the PSPRB uses inflation, and what it said in 2026
In shortThe PSPRB does not set awards by formula: inflation is one input to a relative-position and forward-looking brief, not a catch-up guarantee.
Its terms of reference include 'the Government's inflation target', and in its 2026 report it says all staff 'continue to face pressure from the overall high cost of living, albeit against a background of slowly falling inflation over the last year'.
It says it takes account of that alongside pay settlement data, earnings growth and the labour market. It also states that its aim is, as a minimum, to maintain the relative market position of all staff in its remit group.
What the PSPRB tests
- A relative-position test, not a real-terms guarantee.
- Recruitment, retention, morale, the labour market and affordability: a forward-looking brief rather than a catch-up mechanism.
2026 evidence
- HMPPS proposed 2.5% and the POA 6.3%; the 3.5% outcome sat between them.
- Inflation matters because it affects the labour market against which HMPPS competes for recruits, but a pay award below inflation is not automatically rejected.
How to check your own position in five steps
In shortYou can check your own pay against prices in a few minutes with your payslips and the ONS series.
You do not need our figures to check your own pay against prices. The method is the same one we use here.
- Pick a start date, for example the March before the year you joined or your last promotion.
- Note your annual base pay and allowances then, and now, from payslips or the pay tables in the pay bands guide. Compare like with like: base pay to base pay, or total including unsocial hours to total.
- Divide your current pay by your starting pay and subtract one to get your cumulative rise.
- Divide the ONS CPI index for the latest month by the index for your start month (series D7BT) and subtract one to get cumulative inflation.
- Divide the first result by the second. Below one means you are behind prices; above one means you are ahead. Then adjust for tax and pension if you want a take-home view.
Frequently asked questions
Has prison officer pay kept up with inflation?
Not consistently. On our arithmetic, headline awards beat CPI from 2018 to 2020, fell well behind in 2021 and 2022, and have since recovered part of the gap. From March 2021 to March 2026, compounded headline awards were about 25.8% against CPI of 28.9%. Pay point progression and Band 3 extras are not included.
Is the 2026 pay rise above inflation?
The 3.5% award from 1 April 2026 is above ONS CPI of 3.3% for March 2026 and 3.1% for the 12 months to August 2026. That is about 0.2 to 0.4 percentage points ahead on those readings. It does not recover the purchasing power lost in earlier years, and future inflation is unknown.
What was inflation in 2022 and 2023?
ONS CPI annual rate was 7.0% in March 2022 and 10.1% in March 2023, with an annual average of 9.1% for 2022 and 7.3% for 2023 (series D7G7).
The 2022 prison officer award was 4% consolidated and the 2023 award 7% for Bands 3 to 5, so the 2022 pay year saw a large real-terms fall.
Which inflation measure do you use?
The ONS Consumer Prices Index, all items (CPI). We use the index series D7BT and the annual rate series D7G7. The PSPRB's terms of reference refer to the Government's inflation target, which is set on CPI. RPI and CPIH differ, and a different measure would give different real-terms answers.
Do these numbers include my pay point increases?
No. They use the headline consolidated award only. Band 3 and Band 5 officers moved up a pay point in 2026 and in earlier years, which can add more than the headline, and the PSPRB recommended Band 3 structural increases in 2020 and 2022. Use the calculator to include your own progression, hours and location.
Will the 2027 pay award beat inflation?
Unknown. The 2027/28 round began with a remit letter on 15 July 2026 that says pay must be funded from departmental budgets with no additional funding. The PSPRB has not published a timetable and we found no evidence submissions. Any figure quoted for 2027 without a primary source is speculation.
Where can I get the ONS figures myself?
The ONS publishes the series online: D7G7 is the CPI annual rate and D7BT the CPI index with 2015=100, both in dataset MM23. The figures we use were released on 16 September 2026, and the next release is scheduled for 21 October 2026. Our calculations are simple ratios you can repeat.
Sources
- ons.gov.ukONS: CPI annual rate, 00: all items (series D7G7, dataset MM23, release 16 September 2026)
- ons.gov.ukONS: CPI index, 00: all items, 2015=100 (series D7BT, dataset MM23, release 16 September 2026)
- assets.publishing.service.gov.ukPSPRB Twenty-Fifth Report on England and Wales 2026 (CP 1550), published 26 March 2026
- gov.ukGOV.UK: PSPRB Twenty-Fifth Report on England and Wales 2026 (publication page)
- assets.publishing.service.gov.ukMinistry of Justice remit letter to the PSPRB for the 2027/28 pay round, 15 July 2026
- gov.ukGOV.UK: Rates and thresholds for employers 2026 to 2027
- spice-spotlight.scotScottish Parliament SPICe Spotlight: public sector pay policy challenges ahead (secondary)