NATIONAL GRID - FINAL PAY OFFER 2026/2027
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Dear Member,
Negotiations with National Grid on this year's pay claim have come to a point where the company has made a final offer to the joint trade unions. We will be holding members meetings to discuss the offer, and we will then conduct an electronic ballot so GMB members can have their say on the proposal.
Here's a summary of the final pay offer, which is for 1 year, backdated from 1st July 2026 to 30th June 2027.
- Pay Increase - A 4.6% increase to basic rates, salary scales and relevant allowances.
- Pay Progression - National Grid made a full and final offer this has now been accepted by all the trade unions. This included a commitment to work together to negotiate on an enduring Level 6-8 framework. There will be a planned schedule of dates set out in advance for this to be reviewed through the NGSF and working group.
- Bonus – In August 2026, the company paid colleagues a non-consolidated and non-pensionable bonus, agreed with the trade union, to ensure payment during the summer period. The bonus was worth 3% for employees on target, 4% for employees above target, and 0% for those below target. Colleagues who worked the full performance year were guaranteed a minimum of £1,050, applied where 3% of salary would otherwise have been less than this amount.
- Shift Allowance - A 20% increase to the current shift allowance percentages effective from 1 July 2026.
- Minimum Pay Commitment - The company will pay a minimum of £15 per hour.
- Market Supplements - The company are committed to a detailed review of market supplements through the National Grid Staff Forum and relevant local forums, as a result, this review will commence in December 2026.
- Pensions – (Defined Benefit Scheme) National Grid note the trade unions' request to revisit the 2013 pensionable pay cap. Any change would have significant, long-term funding implications, so we cannot commit to this as part of the pay offer. We are committed to further focused dialogue on this matter and will use the dedicated Pensions Information and Communications Group meeting in October to listen and understand Trade Union views.
(Defined Contribution Scheme) Our DC arrangement is a good quality, upper-quartile scheme therefore we do not propose to change employer contribution levels through this pay offer. We value the open way in which these matters have been discussed and are committed to keeping an open dialogue with the trade unions on pensions in the period ahead through our Pensions Information and Communication Group and the NGSF.
- Annual Leave: The Company is not proposing any changes to the current annual leave provisions.
- Policies - The company also proposes the following changes and enhancements:
a) Maintain employer Defined Contribution pension contributions during periods of maternity, adoption or shared parental leave. This change will take effect from the first day of the month following completion of a pay agreement and will not be backdated. For example, if the pay implementation date is October 2026, October 2026 will be the effective date for this change.
b) Provide a £300 contribution (pro-rated for eligible new joiners) towards annual single-cover private medical insurance purchased during the My Benefits annual enrolment window launching in October 2026 for benefits effective from 1 December 2026.
The company will also commit to engaging through the relevant company and trade union forums during FY 26–27 on the following areas:
- Company Cars (Levels 1 to 8 job requirement) - The Company is committed to the effective operation of the Company Car Working Group (CCWG). The company has scheduled a CCWG meeting on 8 October 2026 at which feedback on the Company Car Scheme, including company car allowance voucher values, will be discussed with any actions arising reported back to the NGSF.
- Business Travel and Expenses - The Company is committed to reviewing the Business Travel and Expenses Policy during FY26/27, including the overnight meal allowance, to ensure it remains appropriate, fair and aligned with business requirements. This will be reviewed through the Policy & Procedure Review Group (PPRG) and updated Terms of Reference including confirmation. The company has scheduled a meeting on 21 October 2026 to begin the review, with any actions arising reported back to the NGSF.
- ET Ways of Working - The Company will engage through the ET Operations Forum, on matters related to ET Ways of Working. The Company and Trade Unions (through the NGSF) will review and update the Terms of Reference of the Company Car Working Group (CCWG), Procedure Review Group (PPRG) and the Pension and Information and Communication Group (PICG) as noted above, to support the effectiveness of these groups and meaningful dialogue and feedback.
The pay offer is for one year and the headline 4.6% is in line with the pay increase negotiated at NGED and is at the higher end of pay offers within the energy sector. The current rates of inflation are CPIH 3.1%, RPI 3.2%, CPI 2.9%.
The GMB view is that this is the best offer that can be achieved through negotiations.
In Solidarity
GARY CARTER
National Officer