Asda to raise the basic pay for 120,000 staff by 8.4% as the supermarket chain are to invest £150 million.
The supermarket chain will increase their pay for retail staff to £12.04 per hour later this year and those inside the M25 will have a pay rise of £13.21 per hour.
On 1 April the national minimum wage will increase from £10.42 to £11.44.
Mohsin Issa, Asda co-owner, said: “This record investment will see Asda become the highest paying grocery retailer in the UK, recognising the hard work of our store colleagues in serving customers every day.
“We want to be a company that people are proud to work for, which is why we are proposing increasing pay for retail and Express colleagues by more than 8% this year.”