Public sector workers could have their salaries set for three years rather than 12 months under plans being put forward by Chancellor Alistair Darling (pictured).

Darling says the move will help departments plan budgets, employees to plan ahead, as well as control inflation.

The TUC said any three-year deals would depend on the terms offered.

Public sector pay rises are recommended by an independent body and this year suggested 2.5% increases.

The budgets of Whitehall departments are set for three-year periods and ministers now want to see public sector pay awards for nurses, the police and other public servants to be fixed in the same way.

Darling argues that the new longer-term agreement will guarantee earnings growth for 5.5m workers, as well as help ward off inflation.

Darling says: "What there is is certainty as to what the pay increase will be, not just this year, but next year and the year after, and I think that is absolutely a huge step forward for public sector employees.

"It also helps in relation to the wider economy and it helps departments, which of course get their spending allocated over three year periods, so everybody knows where they are.

"What we are looking at here is to get a degree of certainty so that both sides - employer and employee - know where they stand."

Police in England, Wales and Northern Ireland are currently in dispute with the government over the staging of the 2.5% pay rise - in Scotland it was paid in full.

The government has argued public sector pay must be controlled to curb higher inflation caused by rising energy and food prices.