Asda Raises Store Pay To £13.10 As Supermarket Wage Battle Intensifies

Asda has announced a fresh pay increase for its store workforce, taking hourly rates to £13.10 from July as competition for frontline staff across the grocery sector continues to intensify.

The uplift will apply to around 110,000 hourly-paid colleagues working across its supermarkets and convenience stores. The increase represents a 4% rise and will be phased in over two stages, with pay rising to £12.71 in April before reaching the final rate in July.

For employees within the M25, hourly rates will increase to £13.93 in April and £14.35 from July, maintaining a premium for London-based staff.

The move forms part of an £80m investment in retail pay and brings Asda’s total spend on store wages to £575m since its acquisition by TDR Capital and the Issa brothers in 2021. Over that period, hourly pay has risen by around 40%, underlining the scale of investment in frontline roles.

Previously, the supermarket paid a minimum of £12.60 nationally and £13.82 within the M25 following its last pay rise in October 2025.

Asda’s chief people officer, James Goodman, said store colleagues remain central to the retailer’s turnaround strategy, describing the latest uplift as an “above inflation pay award” and a key part of its “Formula for Growth” plan.

The announcement comes amid a wider wave of pay increases across the UK grocery sector, with major retailers ramping up investment in store staff as competition for labour and customer service intensifies.

Source: Retail Gazette