There has been a “major breakthrough” in the long-running pay row involving train drivers, which could signal the end of national rail strikes, according to the Department for Transport (DfT).
It says that, following a series of “positive” talks led by the government, the drivers’ union ASLEF has agreed to recommend a new pay proposal to its members.
“The offer made to ASLEF is a 5% pay rise for 2022/23, 4.75% for 23/24, and 4.5% for 24/25,” a DfT spokesperson said.
“The offer will now be put to ASLEF members in a referendum.”
During the two-year pay dispute, drivers have taken 18 days of strike action as well as refusing to work non-contractual overtime, leading to huge disruption for passengers.
ASLEF first balloted for industrial action in June 2022 and renewed its mandates for strike action and action short of a strike every six months.
The first strike was held in July 2022, followed by regular walkouts and rolling weeks of action until just before this year’s general election.
The union said on Wednesday that the dispute began because the “Tory government, and the privatised train companies” refused to give train drivers the “pay rise they deserve”.
ASLEF added that drivers had not had a salary rise since 2019 and during that time the “cost of living has increased significantly”.
Mick Whelan, the union’s general secretary, described the pay offer as “fair” and clean” before saying he is urging drivers to accept it.
He said: “We are pleased that after being treated with utter contempt for the last two years by the privatised train companies, and the previous government that was pulling their strings, we finally have a new government – a Labour government – that listens and wants to make the railway work for staff, for passengers, and for the taxpayer.”
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Transport Secretary Louise Haigh said: “When I took this job, I said I wanted to move fast and fix things – starting by bringing an end to rail strikes.
“The Conservatives were happy to see the taxpayer pay the price as strikes dragged on and on, and passengers suffered. This Labour government is doing the right thing and putting passengers first.
“If accepted, this offer would finally bring an end to this long-running dispute, and allow us to move forward by driving up performance for passengers with the biggest overhaul to our railways in a generation.”
But Tory leadership candidate and shadow home secretary James Cleverly criticised the proposal as an “inflation-busting pay award from the Labour government”.
And shadow transport secretary Helen Whately said on X that “a ‘no strings’ deal means this will be paid for by passengers and taxpayers”, as she accused Labour of caving in to unions.
The DfT has said new industry estimates suggest that train companies have missed out on around £850m of passenger revenue since industrial action began in 2022.
Accounting for additional impacts of strikes, including people being unable to work, or potential reductions in spending on hospitality and retail, the total impact likely exceeds £1bn, the DfT added.