Devalued: doctors’ real terms purchasing power has declined substantially over 15 years, independent economic analysis confirms

An independent analysis of doctors’ pay in England confirms that the real terms value of their salaries has declined by a quarter in the 15 years since their pay was frozen. This fall, which aligns with a 25% increase in the cost of living in the UK over the same period, is disproportionately affecting the purchasing power of lower grade doctors, the analysis found.

General wage stagnation has become a feature of British working life,1 with UK salaries failing to keep pace with inflation, but the degree of salary erosion for medical professionals far outstrips that of UK workers in other sectors, including those in executive roles, the findings show. The analysis—conducted for The BMJ by the Office of Health Economics, an independent health economics research organisation—found that, across all grades, doctors’ salaries declined in real terms by an average of 25% between September 2008 and September 2023—a finding that mirrors analysis by the BMA.2 See box 1 for a detailed breakdown of how the analysis was conducted.