The Government are pitting different public sector workers against each other here.
@MeadowHay is exactly right that these pay increments are nothing to do with Covid-19; they are not a reward or any sort of compensation for performance during thr pandemic. They had no business linking the normal annual acceptance/rejection of recommendations with 'key worker' status.
In teaching, for example, they always give their response at this time of year, as we don't have a current three year agreement like nurses. If it's fully or partially funded by thr government, schools pass it on between Oct and Dec, backdating to Sept. Then in the new year, plans are made for the following year. It's not news. All jobs have pay structures and systems and a time line for amendments.
This time though, the spin is that teachers are getting thr biggest rise at 3.1% This is an average, because new teachers' starting salary is increasing 5.5% on last year. The Tory manifesto said they would raise this in line with other graduate professions. This means that the government are applying much less than the average to the top of the pay range for those already in a job. Anyone in between top and bottom does not have to be paid any more. And since this is NOT FUNDED, it comes from existing budgets. If Heads can't balance the books anyway, how can they apply percentage increases to all members of staff? It's not going to happen. The last ten years of pay freezes and a real terms cut of around 18% is a clue.
But yet the Government have got nurses thinking that teachers (for example) have a 'better deal' and the public are up in arms that care workers aren't being 'recognised'. Nobody is genuinely being recognised, but they've effectively encouraged arguments about laziness for staying at home when told, the differences between working remotely and being on the front line, and generally taking everyone's attention away from how money they promise is taken from elsewhere and their general incompetence on so many levels.