Costa Coffee to give 4.1% pay rise to staff

Costa Coffee is to give a 4.1% pay rise to over 16,000 of its staff working in its company-owned stores in the UK.

From 1 April, all staff at its company-owned stores will see wages rise from £12.60 per hour to £13.12 as part of a £7m investment in pay.

Costa’s ‘barista maestros’, who are team leaders and coffee trainers, will see their hourly pay increase from £12.93 and £13.43 to £13.75, while Costa Coffee store managers have secured an overall 3% pay increase.

Central London-based staff will receive an extra £1 per hour than the national rate, equating to £14.12 per hour for baristas and £14.75 per hour for barista maestros.

The coffee chain does not operate age-bandings and the increases mark the seventh pay rise for store team members since 2021.

Nick Orrin, UK&I managing director at Costa Coffee, said: “Our talented baristas and team members are the heart of Costa Coffee, with every drink shaped by their expertise, skill and passion. This latest pay uplift reflects our ongoing commitment to recognise, reward and invest in the people who deliver great coffee experiences and daily rituals for our customers across the UK.”

Chancellor Rachel Reeves added: “It’s fantastic to hear that Costa Coffee are recognising and supporting their hard-working staff with this pay increase. Hard work should be rewarded, which is why from April, our increase to the National Living Wage will benefit 2.4 million people, with full-time workers on the National Living Wage being £900 a year better off.”

The pay rises come after reports suggested government is considering dropping its Minimum Wage pledge amid plummeting youth employment rates.

UKHospitality warned the situation risked "locking a generation out" of vital opportunities to gain skills, experience and a foothold in the workforce”.

Costa Coffee operates around 1,500 company-owned stores across the UK.