Convenience specialist the Co-op is set to give staff an above-inflation, 3.5% pay increase from tomorrow, Retail Week can reveal.

Co-op store exterior, Manchester City Centre

Source: GettyImages/iStock/ASphotowed

Co-op staff will receive an above-inflation pay rise, effective April 1

The retailer’s frontline staff will see pay increase to £13.04 per hour nationally, and £14.29 per hour within the M25, Retail Week understands.

The £13.04 per hour is a 3.49% increase for those staff on the real living wage, up from the £12.60 pay rise awarded in 2025.

The pay rise will sit alongside the retailer’s reward package, which includes a 30% own-brand staff discount and other benefits, including offering paid breaks, maternity and paternity leave in excess of statutory minimums, and up to 38 days holiday for staff, based on length of service.

The increase will be implemented from April 1, as opposed to last year, when the Co-op chose to spread the increases over two award periods – the first on April 1 and then again on August 1.

The Co-op is the latest of a string of retailers to confirm pay rises for staff. Earlier this week (March 25), Asda announced an “above-inflation” pay rise of nearly 4% in an investment worth £80m.

Tesco unveiled a £200m investment package for staff pay on March 18, whereas Sainsbury’s unveiled its pay rise for frontline staff on January 29.

John Lewis and Waitrose partners received a 6.9% pay bump on February 18, worth £108m of investment for the retailer.

Discounter Aldi continues to lead the way in terms of pay for frontline grocery staff, having announced it would be increasing frontline staff pay for store assistants to £13.35 an hour nationally and £14.71 inside the M25 on January 13.

Retail Week has revealed that both home and DIY giant B&Q and value retailer Home Bargains have both also increased staff pay, with both retailers set to increase pay from April 1.