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Liz Truss has U-turned on her pledge this morning to save £8.8 billion by levelling down pay of public sector workers – including teachers – who live outside of London.

The Tory prime minister candidate‘s “war on Whitehall waste”, announced earlier on Tuesday, proposed regional boards to “tailor” civil servant pay to the cost of living where they work.

While plans would apply to new contracts within the civil service at first, the campaign said that potential savings of £8.8 billion could be made if the system was adopted for all public sector workers in the long term.

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