World famous department store Harrods could be faced with strike action in a dispute over pay.

The UK’s biggest union Unite is to ballot more than 250 workers at Harrods unless the store improves on a 3.5 per cent pay offer and restores a holiday entitlement.

According to The Times, the strike would involve engineers, maintenance staff, drivers and warehouse workers serving the Knightsbridge store.

Unite is to begin balloting Harrods workers this week and the ballot closes on August 18. If workers vote in favour, it can call a strike the following week.

The pay increase at Harrods was implemented last month, but Unite said its members in support roles were not given the same two days’ extra holiday entitlement as shop floor workers.

Harrods said that the extra leave had been given to shop assistants to bring them in line with workers who had been given higher holiday entitlements.

A Harrods spokesman said it would not make an improved offer and any strike would not stop the store opening.

“It will be inconvenient, but it won’t jeopardise the running of the business,” he said.