London Daily

Focus on the big picture.
Monday, Aug 24, 2026

Costa Coffee gives staff 5% pay rise as it looks to recruit 2,000 workers

Costa Coffee gives staff 5% pay rise as it looks to recruit 2,000 workers

Increase for 14,500 shop workers comes into effect from 1 October
Costa Coffee is increasing pay for its 14,500 shop workers by 5%, as it looks for 2,000 more staff before Christmas.

The company, which was bought out by Coca-Cola in 2018, said that from 1 October all store team members would receive increases of at least 45p an hour, raising minimum pay to £9.36 an hour, up from £8.91, thenational minimum wage for those aged over 23. Top rates of pay, depending on location and experience, will increase from £10.64 an hour to £11.29.

Other perks include a quarterly incentive scheme, free coffees on shift, a team member support fund and a pension scheme. The company confirmed staff would not be paid during their statutory breaks.

Neil Lake, the managing director of Costa Coffee UK and Ireland, said: “Our team members are the heart of our business and as we continue to emerge stronger from the pandemic, this 5% pay increase is one way we are able to show our thanks to them.

“Our teams have been through the most challenging year and a half in living memory and have shown incredible passion, resilience, and commitment as they continue to serve perfectly crafted cups of Costa coffee to consumers across the country. We are committed to putting our team members first, investing in their safety and wellbeing and their long-term development, ensuring we remain a great place to work for all our current team members and the 2,000 team members we’ll be welcoming in the coming months.”

The pay rise comes amid a recruitment squeeze that has forced up wages for some lorry drivers, fruit pickers and chefs as businesses battle to retain and hire them.

The Covid-19 pandemic has worsened problems caused by Brexit, which prompted thousands of EU nationals to leave the UK.

Recent research by the job search group Indeed found rapid growth in vacancies in food preparation and service, as well as in cleaning and sanitation, customer service, driving and retail. As a result, food service jobs are paying 3.7% more than they did in February when the UK government announced its “roadmap” out of lockdown.

However, not all companies have followed the rising pay trend. Costa’s pay increase announcement came after a pay cut at struggling rival Pret a Manger, which has permanently ended paid breaks, resulting in a 6% pay cut those on an eight-hour shift. The majority of Pret staff earn £8.91 but about 80% of them receive a £1 an hour bonus if they give satisfactory service judged by a mystery shopper.
Newsletter

Related Articles

0:00
0:00
Close
Prime Minister Andy Burnham to Give Ukraine Classified Storm Shadow Blueprints for Domestic Missile Production
UK Graduate Job Vacancies Plunge 45% to Lowest Levels on Record
Government Audit Reveals Pressure on UK Hospitality From Business Rates and Rising Costs
Kindertransport Survivor Prepares to Revisit European Sites Linked to Her Family’s Wartime Separation
Northern England Transport Operators Strengthen Contingency Plans as Travel Demand Rises
New Implant Trials Offer Treatment Prospects for Patients With Refractory Angina
South Wales Reviews Wildfire Response After Exceptionally Dry Summer
UK Treasury Prepares Autumn Fiscal Statement Amid Spending and Defense Pressures
Norfolk Records First Wild Beaver Births in More Than Five Hundred Years
Historic Portrait of Benjamin Disraeli Reported Missing From Parliament’s Art Collection
Five People, Including Police Officers, Killed in A66 Crash as Families Pay Tribute
Most English Secondary Schools Found to Fall Short of National Healthy Food Standards
UK Think Tank Says Productivity Growth May Be Stronger Than Official Data Shows
Reform Party Proposes Lower Social Housing Priority for Foreign-Born UK Citizens
UK Government Plans Business Rate Overhaul to Ease Pressure on Pubs and Hotels
New Daily Diabetes and Weight-Loss Pill Launches Across NHS Pharmacies in England
UK Graduate Job Vacancies Fall to Lowest Level in a Decade
UK Prime Minister Andy Burnham Visits Kyiv to Reaffirm Long-Term Military Support for Ukraine
Iranian Hackers Shut Down British Power Plant for Four Days in Landmark Cyber Attack
Novak Djokovic Reveals Relentless Self-Doubt and Rejects Retirement in New Documentary
Trump Imposes 50% Tariffs on Canadian Goods After Bilateral Trade Talks Collapse
First Bus Bars Unaccompanied Under-Sixteens From Evening Services in Stoke-on-Trent
Lithium-Ion Battery Fires Cost UK Waste Sector About One Billion Pounds a Year
Reform UK Proposes Lower Social Housing Priority for Foreign-Born Naturalised Citizens
UK Government Deploys AI Drones in Crackdown on Illegal Waste Dumping
EU Biometric Border Checks Cause Disruption for British Travellers and Freight Operators
UK Expands Voluntary Drug Treatment Programme for Sex Offenders to Twenty Prisons
CrossCountry Cancels Most Services After Major Power Failure at Control Centre
Met Office Warns El Niño Could Bring Severe Autumn Storms and Higher Food Prices
Resolution Foundation Says UK Productivity Growth May Be Stronger Than Official Data Suggest
Andy Burnham Proposes Giving Regional Mayors Greater Planning Powers
UK Government Overhauls Planning Rules to Accelerate Housing Near Transport Links
Russia Withdraws Ambassador to Britain and Warns of Retaliation Over UK Drone Supplies to Ukraine
Iran-Linked Hackers Blamed for Cyberattack That Shut Down UK Power Plant
Andy Burnham Pledges UK Support for Long-Range Missile Production in Ukraine
Australia Combines Indigenous Fire Knowledge With Satellite Tech to Combat Catastrophic Wildfires
Father and Son Jailed in Scotland Over £900,000 Airport Cannabis Smuggling Operation
UK Fraud Reports Surge Sevenfold as Criminals Exploit QR Codes in Parking Meters and Phishing Emails
Brighton Thrash Aston Villa in Four-Goal Opening Half as Manchester City Trail Bournemouth
Erin Patterson Appeals Triple Murder Convictions After Hotel Mixed Sequestered Jury With Prosecution
Bank of England Maintains Close Watch on Banks Amid Global Economic Uncertainty
Warm Weather and Tourism Support UK High Street Spending During Summer
Westminster Faces Continuing Political and Administrative Fallout From Epstein Files Release
UK Invests in Domestic Defence Drone Manufacturing to Strengthen Military Supply Chains
Around Five Million UK Households Face Higher Mortgage Payments by 2028
Bluetongue Virus Cases Rise Across England, Wales and Scotland
UK Government Holds First National Day for Victims and Survivors of Terrorism
Historic Summer Droughts Threaten UK Harvests and Put Further Pressure on Food Prices
UK Economy Holds Up in Second Quarter Despite Global Energy and Geopolitical Pressures
UK Opens National Artificial Intelligence Safety Testing Facility
×