Steve Barclay privately concedes he will have to increase pay offer to NHS staff

The U-turn may help to end wave of strikes, though funding it could require cuts to key services

Steve Barclay has privately conceded he will have to increase his pay offer to NHS staff, in a U-turn that may help to end the growing wave of strikes.

However, the Treasury has made clear he will have to find any new cash from within the existing health budget, raising the prospect of cuts to key services.