According to the ONS, the average earnings growth was 7.6 per cent for the public sector — almost twice the earnings growth of the private sector at 3.9 per cent.
If we assume that public sector expenditures are mostly funded by private sector tax receipts, this does not bode well for the UK.
Every single pound in public sector salary uplifts must be extracted from the private economy, either through an increase in any of the forms of taxation or deferred through borrowing. When public sector earnings grow at almost double the rate of those in the private sector, the tax base required to support them is being actively weakened.