Asda retail workers will get a £10.10 an hour base rate of pay from July, up from the previous £9.66.

Announced this morning, the increase comes after a pay campaign by the GMB union.

“It is fantastic news that people working in Asda stores will have more money in their pockets, said Nadine Houghton, GMB national officer. “It is what they deserve and urgently needed with the rising cost of living.

“GMB members in stores across the country have been campaigning hard to get Asda bosses to deliver better pay. We're glad they have listened.”

She added: “Employers everywhere need to step up and properly reward key workers who keep our high streets running.”

Asda said of the increase: “The increase in the hourly rate to £10.10 per hour from July will give staff an additional 60p on top of the National Living Wage. It is further supported by a 10 per cent colleague discount in stores and online, and an additional supplement for colleagues in London stores."

The retailer added that staff will have the opportunity to achieve a bonus of up to £400 at the end of the year. This combined package will make Asda the highest paying UK supermarket. claimed the company.

Earlier this month, Asda chairman Lord Stuart Rose called on the government to do more to help workers in the face of the increased cost of living.

Lord Rose said: “I think the government has been fairly slow to recognise some of the problems many people are facing.

“They’ve been slightly tin-eared and slow in putting some actions in place in response. I would do something as a short term package to help people.”

Around 8,000 Asda distribution workers, across driver, warehouse and clerical roles, are currently taking part in a consultative ballot on industrial action, over pay and the company’s plan to cut sickness pay. The ballot finishes on 4 May.

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