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NHS logistics (NHL) lorry drivers have called off a dispute with their employer Unipart after it offered an improved pay deal.

The dispute involved 130 HGV and 7.5-tonne drivers, delivering NHS equipment and supplies, who were unhappy with being paid “an industry low” of £10.24 an hour, according to union Unite.

It said that under the deal drivers will now receive a year’s 3% increase back dated to April 2019 and a 2.2% increase beginning April 2020, as well as significant improvements to their sick pay.

Unite regional officer Phil Silkstone said: “This pay deal ensures that Unipart drivers are being paid a fair rate for the job and being covered by adequate sick pay provisions.

“I would like to thank our members and reps who by standing together have shown that a unionised workforce attains results.

“This is a solid win for our members and Unite looks forward to working constructively with Unipart in the future.”

Unipart Logistics took the five-year, £730m contract from DHL in September last year despite a legal challenge to the way the contract was awarded.