THE Baillieu government has buckled to the pay demands of police, agreeing to a 19 per cent rise over four years in an offer that sets the scene for large claims from teachers, nurses and public servants.

The Police Association has declared victory after a year-long pay campaign, boasting on its website of ''big wins'' exceeding its demands for a 4.5 per cent annual increase.

For months the government has vowed it will not give annual pay rises for public sector workers of more than 2.5 per cent unless the extra is offset by ''bankable'' savings to neutralise the impact on the budget.

But details of the deal, obtained by The Age, show police will get an annual average pay rise equivalent to 4.7 per cent for the next four years - plus a one-off $1000 bonus payment on December 1 instead of back pay for 12,500 members.