Teachers in Oxfordshire say a 3.7 per cent pay rise is not enough and that it should be at least ten per cent.

But the pay rise is more than the three per cent the county council budgeted for, and means councillors have to choose whether to take just under £1.4m from schools or other committees.

Unions say the 3.7 per cent pay rise for all teachers and a six per cent boost for newly-qualified teachers will not solve the recruitment crisis.

Mark Forder, Oxfordshire secretary of the National Union of Teachers, said: "It is a step in the right direction, but we don't think that it will make a difference to recruitment problems in Oxfordshire, because it is not enough to make a difference. The figures are still below the equitable salaries graduates would be earning outside teaching.

"There is a need to increase salaries by ten per cent. We now recruit solely graduates and therefore their salaries must match up with salaries in other professions."

The increases will be introduced in full straight away without being phased in.

New graduate recruits can now expect to earn £17,000 a year. Schools also get complete discretion for the first time to offer a range of extra recruitment and retention payments of up to £5,000 a year per teacher.

Labour's education spokes- man for Oxfordshire, Cllr Shereen Karmali, said she thought the pay deal was fair and councillors were going to decide in the next few weeks how Oxfordshire would pay for it.

John Mitchell, education spokesman for the county council, said schools would probably have to foot the bill for the larger than expected rise for their teachers, but the county would also have to spend £100,000 extra on the increase for those who are employed centrally, such as music tutors.

This sum would be taken out of a budget for "extras" such as educating asylum seekers.