The Greater London Authority will begin a review of the London weighting of wages next week, the first for 30 years.

As more essential workers say they cannot afford to live and work in the capital, the move is an attempt to rectify the problem.

Forum Response: Unison

A spokeswoman for Unison told ePolitix.com: "Only a very significant uplift in pay can deal with the recruitment and retention problems that bedevil all parts of the public sector in London. We would welcome an opportunity to work with employers in partnership to address these problems in the long-term, in an equitable and systematic way.

"Unison favours the retention of a distinct London Allowance which is expressed separately from basic pay, rather than the application of additional points or grades awarded for recruitment and retention purposes which are not transparent and tend to distort grading structures.

"It is important that the principle of equity contained in the 1974 Pay Board Report is retained and London Allowances are paid on an across-the-board basis to all categories of staff, rather than targeted to particular groups, or paid on a different basis. Within particular employing groups in the public sector eg NHS, local government, higher education, there should be a uniform rate across London. Since the 1974 report, the rationale for different rates for inner and outer London has diminished. Costs, particularly for housing are no longer significantly different in inner and outer and in any case any cost difference is offset by longer commuting times, increased fares and a transport system which is a shambles.

"For those working in public services who do not receive any extra pay for working in London, we would like to see other employers follow the lead of the GLA in applying fair employment clauses. We would also welcome the re-establishment of an updated Pay Board London Weighting Index, which takes into account in a realistic way the additional costs (particularly of housing), wear and tear, and the earnings differential of comparable jobs inside and outside London. This should be updated on a regular basis, to take into account changing patterns in spending and for example, the proportion of income required for housing. This could then be used as an authoritative indicator to inform pay negotiations.

"However, this would need to be looked at in conjunction with other policies to reduce the stress of living and working in London, particularly through the implementation of a coherent transport policy and affordable housing to be made available to more than a small group of key workers."

Forum Response: Association of University Teachers

Sally Hunt, assistant general secretary of the Association of University Teachers, told ePolitix.com: "April 2002 will be the tenth anniversary of the last occasion that the capital's many thousands of lecturers and academic staff saw an increase in London Weighting. While London is home to some of the finest universities and colleges in the world it also suffers from some of the worst employment conditions for academic staff.

"Poor starting salaries and the high cost of living are deterring many young lecturers from working in the capital. University staff are only entitled to £2,134 per annum in London weighting which is substantially less than other comparable professions. I hope that the new independent panel will be able to put pressure on both politicians and employers."