London Daily

Focus on the big picture.
Tuesday, Oct 27, 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
Education or Indoctrination? The Growing Debate Over Religious Participation in British Schools
Germany's Vanishing Shopfronts: The Silent Collapse of the Businesses That Built Its Cities
Northern Ireland Executive Reaches Agreement on Public Transport Modernization and Cross-Border Rail Infrastructure Funding
Department for Energy Security and Net Zero Approves New North Sea Carbon Capture and Storage Industrial Clusters
Office for National Statistics Reports Stabilization in Private Rental Growth Across Major English and Welsh Regional Cities
United Kingdom Automotive Manufacturing Output Rises Moderately as Electric Vehicle Assembly Lines Expand in the Midlands
Competition and Markets Authority Launches Formal Inquiry Into Cloud Computing Infrastructure and Artificial Intelligence Partnerships
Scottish Government Finalizes Emergency Budget Adjustments Following Multi-Year Public Sector Funding Shortfalls
National Health Service England Announces Major Emergency Care Overhaul to Alleviate Severe Winter Capacity Pressures
Chancellor Rachel Reeves Prepares Autumn Budget Amid Intensifying Scrutiny Over Public Spending and Fiscal Rules
Bank of England Signals Cautious Approach to Further Interest Rate Cuts as Persistent Wage Growth and Inflation Pressures Remain
Transport for London Unveils Expanded Zero-Emission Bus Fleet to Meet Capital Air Quality Targets
Higher Education Institutions Face Deepening Financial Strain Amid Declining International Student Enrolment
Automotive Industry Leaders Criticize Government Tax Policies and Urge Action on Retail Consumer Confidence
Environment Agency Issues Flood Alerts Across Scottish and English Waterways Following Heavy Rainfall
Independent Audit Highlights Persistent Security Vulnerabilities Across Legacy Government Digital Portals
Northern Ireland Political Leaders Clash Over Westminster Funding Allocations Ahead of Autumn Budget
Ethnic Minorities in England Face Significant Disparities in Routine Breast Cancer Diagnosis Rates
National Police Chiefs Report Alarming Surge in Domestic Abuse Cases Fuelled by Expanding Illegal Cocaine Market
Government Announces Two Hundred and Twenty Million Pound Pothole Funding Boost for Local Highway Authorities
China Issues Formal Warning Over Potential United Kingdom Restrictions on Chinese Electric Vehicles
British Defence Ministers Sign E5 Pact to Enhance European Military Capabilities and Industrial Cooperation Within NATO
United Kingdom Business Activity Expands at Fastest Pace in Eight Months According to S&P Global Flash Survey
Chancellor John Healey Prepares Major Devolution Package and Bank Profit Surcharge Ahead of Upcoming Autumn Budget
National Health Service Consultants in England Announce Two-Day Strike Action Scheduled for November
Major Clean-Up Under Way Across Britain Following Destruction Caused by Consecutive Storms Austen and Boelo
KEY TRENDS TO WATCH
Declassified Intelligence Files Reveal British Security Services Monitored National Health Service Founder
British Government Launches Sweeping Regulatory Crackdown on High-Risk Cosmetic Procedures
Scottish National Party Demands Ban on Using Scottish Revenues to Fund English Nuclear Energy Projects
Mayor of London Initiates Landmark Pedestrianisation of Oxford Street to Revitalise Global Retail Hub
British Judges Granted Expanded Legal Powers to Punish Convicted Killers Who Refuse to Attend Sentencing
United Kingdom Poised to Miss Reduced International Aid Spending Targets Ahead of Fiscal Review
Surging Cocaine Consumption Drives Record Drug Fatalities and Rising Crime Rates Across Britain
Department of Health and Social Care Announces One Hundred and Forty Million Pound Boost for Urgent Care
British Services Sector Records Strongest Growth in Eight Months Despite Broader Economic Uncertainty
United Kingdom Retail Sales Suffer Unexpected Decline as Consumer Confidence Plummets
Greater Manchester Mayor Andy Burnham Urges National Debate on Restoring European Union Free Movement
Deep Cabinet Divisions Emerge Over Controversial Approval of North Sea Fossil Fuel Projects
United Kingdom Government Urges Citizens to Stockpile Essential Supplies in National Resilience Pivot
Storm Boelo Kills Two People and Cuts Power to Tens of Thousands Across Great Britain
Critical Software Flaw Forces Dozens of United Kingdom Government Services Offline Amid Mass Security Warnings
UK Consumer Confidence Tumbles Amid Rising Energy Costs and Global Commodity Price Pressures
North Sea Transition Authority Approves Production from Jackdaw Gas Field to Bolster Domestic Energy Security
Storm Boelo Leaves Tens of Thousands of Households Without Power Across Scotland and Northern Ireland
UK Government Launches National Be Ready Campaign Urging Households to Prepare Three Days of Emergency Supplies
Department for Environment Food and Rural Affairs Implements Stricter Water Quality Regulations for British Rivers
Welsh Government Launches Major Renewable Energy Initiative to Expand Offshore Wind Capacity Along the Coast
Northern Ireland Executive Reaches Final Agreement on Comprehensive Regional Infrastructure Modernization Plan
Office for National Statistics Reports Moderate Increase in British Retail Sales Driven by Autumn Discounts
×