The supermarket giant said it would increase the basic hourly rate for its hourly-paid staff to £9.18 from April 1, 2020, with staff working in London seeing basic pay increase to £10.31 an hour for additional cost of living allowance.

The contract at the heart of its ongoing dispute with staff was already set to increase basic hourly pay to £9 an hour from November 3 this year.

The retailer said this means staff would receive a second increase in hourly pay rates within 12 months, with some staff seeing a base rate pay uptick of more than 11%.