Tesco is poised to implement a significant change across all of its 3,000 stores, with plans to introduce it this month, as per statements from employee representatives. The Workers Union (TWU) has disclosed that Tesco is preparing to raise hourly wages for its retail workforce nationwide, benefiting over 300,000 employees. This wage increase, similar to the one introduced by Primark, is scheduled to take effect in March 2026.
According to TWU, the hourly pay for store assistants is projected to rise to approximately £13.35 on a national scale, while employees in London may see their wages increase to around £14.71. The new pay rate is expected to be effective from the first full pay period following its implementation in March. For most Tesco employees paid every four weeks, the impact on their paychecks is likely to be felt on their April payday, depending on individual payroll schedules.
This move is part of a trend of annual wage hikes within the supermarket industry, with TWU stating that it aligns with the retailer’s broader strategy to attract and retain staff in the UK job market. The initiative also comes amid mounting pressure on the sector to enhance wages ahead of the government’s planned increase in the National Living Wage to £12.71 per hour for workers aged 21 and above.
Following a series of pay raises in recent years, Tesco continues to prioritize wage growth for its employees. Union officials have commended these salary adjustments as exceeding inflation rates and bolstering Tesco’s competitive stance, particularly in London where wages are closer to the Real Living Wage. Over time, Tesco has steadily increased wages, with cumulative raises totaling approximately 32% since April 2022.
In addition to the annual base pay increments, Tesco has enhanced London allowances, shift premiums, and sick pay entitlements. The package for employees also includes perks such as extended Clubcard discounts and night shift bonuses, contributing to Tesco’s reputation for consistent, phased pay increases each year.
Industry analysts highlight that this approach mirrors the common practice among UK supermarkets of offering steady and predictable wage rises to attract and retain talent in the competitive retail job market. The expected wage increase for this year exemplifies Tesco’s commitment to continuously elevating employees’ salaries.
A Tesco spokesperson has refrained from commenting on speculations and has yet to announce the pay awards for 2026.