Lidl, M&S Pay Rise and the Price Puzzle: What £13.41 in Stores Means for Staff and Shoppers

In the run-up to April, Marks & Spencer will raise the hourly base pay for UK customer assistants to £13. 41, a change unfolding as shoppers eye supermarket price comparisons such as lidl’s near-top ranking in recent research.

What the £13. 41 rule means for M& S staff

Marks & Spencer is implementing a new pay floor across its stores from April, investing more than £70 million to boost pay for UK staff by at least 6. 4%. The increase moves retail pay to £13. 41 per hour for M& S UK customer assistants, with about 55, 000 workers set to benefit. For London-based customer assistants, base pay will rise by 6. 4% to £14. 74 per hour.

The company frames the rise as part of a longer-term pay effort: over the last four years it has invested more than £350 million in workers’ pay, an increase equivalent to over 34% for its staff. The new package also includes an uncapped market-leading 20% discount across M& S branded food, fashion, home and beauty products, a Sharesave scheme and pension contributions of up to 12%. Combined, the retailer says base pay and benefits could be worth up to £16. 33 per hour for colleagues.

Stuart Machin, M& S Chief Executive, said: “Our store colleagues are at the heart of our business, welcoming and serving our customers every day and it is important that we invest in them and their pay. This is a good cost and I am pleased that we have been able to make this inflation beating pay award, alongside our leading package of benefits. This investment reflects the central role our people play as we reshape M& S for growth. As always I thank our colleagues for their continued hard work and commitment. “

Lidl’s place in the price rankings and what shoppers see

Separate research from Which? examined the cost of a basket of everyday products and placed Aldi as the cheapest supermarket with a total of £161. 56 for the list of items. Lidl followed closely with a total of £162. 75, making it one of the most affordable options for households focused on weekly shop savings.

The Which? analysis compared multiple chains across the same 89 common grocery products. In that comparison, Lidl’s total sat narrowly behind Aldi’s, while other mid-tier and premium grocers registered higher totals for the identical basket.

Julie Ashfield, Chief Commercial Officer at Aldi UK, said: “These findings show that shoppers don’t need to travel abroad to make real savings on their weekly shop. With Aldi topping the Which? charts once again, UK households can stretch their budgets further every week – and even save enough over time to treat themselves to a holiday. ” While that comment speaks to Aldi’s position, the underlying data places lidl as a close competitor on price.

How pay increases and price rankings intersect

The two announcements highlight different pressures in the same retail economy: one aimed at increasing take-home pay for store workers, the other showing how pricing strategies shape household budgets. M& S describes its pay change as an inflation-beating award that also forms part of plans to grow and modernise its food business. The Which? research underscores how small differences in basket totals can accumulate into meaningful weekly and yearly effects for shoppers.

For M& S staff, the pay movement translates to an increase of £132 per month or £1, 587 per year compared with the prior year, reflecting the company’s stated investment in colleagues as it pursues a strategy to expand food operations and reshape its store estate. For consumers, the narrow gap between Aldi and Lidl demonstrates persistent competition at the lower end of the market that may influence shopping choices.

Closing the circle: staff, shoppers and the next quarter

The change set to arrive in M& S stores from April reframes the working week for tens of thousands of employees with a clear new base pay of £13. 41. At the same time, Which?’s pricing snapshot leaves lidl positioned as a close second in affordability, a detail that will shape where households look first when trying to stretch their budgets. Both developments trace the same economic fault line — how retailers balance the costs of staffing and the imperative of remaining competitive on price — and will be watched closely in the coming months as retailers act on growth and operational plans.