Virgin Money and Santander award employees cost of living payments

Santander and Virgin Money are the latest in a line of companies to offer staff financial help as the cost of living crisis ramps up across Britain. 

Virgin Money employees will receive one-off cost of living payment of £1000 in their August wage packet with 78% of current staff eligible for the windfall.

The pay-out will be capped among those who are paid £50,000 or less at the bank and will help to buffer against unprecedented inflation rises and utility bills that could top £3,000 from October onward with the introduction of a new energy price cap.

Santander will award around 11,000 UK-based employees a 4% pay rise to help with the challenges.

UK CEO Mike Regnier said: “The increased cost of living is impacting households across the country, so we have looked at how best we can help the majority of our own people who play such important roles for Santander.”

Virgin Money moved to stress that the payment was not a bonus brought forward or connected in “any way” with its annual pay review and would also not be set as pro-rata for part time colleagues.

It will land in employee’s  August pay on Friday 19.

David Duffy, CEO of Virgin Money, said: “The increase in the cost of living is on everyone’s minds, whether in political circles, in the media, or in the local supermarket. It’s also been part of many conversations among the leadership team, because we know that many colleagues are experiencing additional pressures on their finances.

“Now is the right time to make a special one-off payment. For all eligible colleagues an additional £1,000 will be paid with your August pay on Friday August 19.”

Other companies that have offered a cost of living payment to their employees include Santander that today (Tuesday) said would award around 11,000 UK-based employees a 4% pay rise to help with the increased cost of living as prices bite.

World famous engineering company Rolls-Royce also offered to hand more than 14,000 staff a £2,000 extra payment to help them through the cost of living crisis, but this was rejected by 11,000 unionised workers as not enough to meet their economic challenges.

Fellow bank Barclays also announced it was to hand its UK staff £1,200 to help with the current cost crisis.