Relations between the government and powerful groups of senior doctors, judges and civil servants sank to rock bottom last night after Gordon Brown, the chancellor, intervened to stagger introduction of salary increases recommended by the independent pay review bodies.
The chancellor brushed aside warnings from Tony Blair and Patricia Hewitt, health secretary, who did not want to pick a fight with the elite group of NHS hospital consultants on whose support they rely to drive through health reforms.
The NHS is already struggling from a financial crisis and there was a desire to avoid further destabilisation. But the chancellor has insisted on reducing the recommended 2006-07 pay deal for consultants by about £30m, signalling that the party is over for high earners who gained disproportionately from several years of Treasury largesse.
The consultants will get a staged increase of 1% next month, compared with 2.2% recommended by the review body, slightly below the latest annual increase in the retail price index. They will get the full 2.2% from November. Awards for judges and Whitehall mandarins were also staggered.
The British Medical Association said the decision to trim the consultants' awards was "mean-minded and vindictive". James Johnson, chairman, said it was shocking that ministers chose to single out consultants for lower percentage pay increases than other doctors and nurses. Ms Hewitt put a brave face on the settlement. She said it was "fair and affordable" and would "send a clear signal to the NHS that we are serious about the need to restore financial balance".
From November, a newly qualified consultant would earn £70,823 a year - 68% more than in 1997. GPs' earnings were not affected by yesterday's deal.
The shadow health secretary, Andrew Lansley, said: "Phasing of the award should only ever happen in circumstances of financial constraint."
Pay increases for the most senior NHS managers and board members will be staggered to match the consultants, but other NHS staff will get their awards in full. This will give junior doctors 2.2%, nurses and other healthcare professionals 2.5% and dentists 3%.
Nursing unions said they were disappointed about not getting more, but praised the review body for resisting the government's attempt to limit the increase to 2%.
The government also angered 3,500 senior civil servants by announcing the first staging of their pay rise since 1997.
The senior salaries review body recommended an average pay rise of 3.25%, saying that it was making a smaller award this year to take account of the need to restrain public expenditure.
The government said it would pay 1% next month and the balance in November. A plan for civil servants to catch up with salaries in the private sector would be phased over 20 years instead of 11.
Judges and MPs also face staging of their awards. MPs will get a 2.8% rise - 1% next month and the rest in November.
Some judges will get bigger pay rises because of the restructing of their salary bands.
