Asda has announced a pay rise that will see hourly rates rise to £13.10 from July 2026 as part of an above-inflation pay increase for its retail workforce. The supermarket confirmed that all 110,000 hourly-paid colleagues across its stores and Asda Express network will benefit from a 4% pay rise. The current hourly rate for store staff outside the M25 is £12.60.
The increase will be rolled out in two stages rising to £12.71 from April 1 before reaching the new £13.10 rate from July 5. For employees working in stores inside the M25, hourly pay will rise from £13.82 to £13.93 from April and rise to £14.35 from July 5.
James Goodman, Chief People Officer, Asda, said: “Our store‑based colleagues are at the core of our business and the role they play serving customers is central to our Formula for Growth turnaround plan.
« I’m pleased we’ve been able to give them an above‑inflation pay award and invest in this way.
« I’d also like to thank them for their continued hard work and commitment to making Asda better every day.”
The latest increase represents an £80 million investment in pay for 2026 alone. Since the business was acquired by TDR Capital and the Issa brothers in 2021, total investment in retail pay has reached £575 million, the supermarket said.
Over that period, hourly wages have risen by around 40%, going from £9.36 in 2021 to £13.10 in 2026.
Asda is not the only supermarket to have recently increased wages. Last week, Tesco also joined several other major retailers in raising hourly pay.
From March 29, shop workers and staff at online fulfilment centres will see their hourly wage increase by 5.1% to £13.28. For those within the M25, the hourly rate will rise to £14.55.
These increases follow an increase in the cost of living and the UK government’s announcement that the statutory National Living Wage will rise to £12.71 per hour in April 2026.
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