Co-operative Bank has become the latest business to give a cost of living bonus to its members of staff.
Employees at the high street bank are to receive a £1,000 pay rise to help them with rising bills.
The group said around 95% of its employees will be eligible for the pay rise, which will take effect in September.
Those on the highest salaries won’t receive the bonus.
Co-operative Bank has already made a one-off cash payment to lower paid staff earlier this year to help them cope with soaring energy, food and fuel bills.
It comes after its half-year results show pre-tax profits rebounded to £61.9million from £21.4million a year earlier.
Higher interest rates - which are now at 1.25% - boosted its profit margins, the lender said.
The group said the performance was better-than-expected and it upped its full-year guidance for the net interest margin.
Lloyds Banking Group, Barclays and TSB have also handed out cost of living bonuses to staff.
Co-operative chief executive Nick Slape said: "We remain committed to helping customers and colleagues during these challenging times and services are available to anyone requiring support."
The group is reaping the benefits of the transformation plan it launched after being rescued by a group of hedge funds in 2017.
It said: "We have made substantial progress in the first half of 2022 with ongoing profitability and through strengthening of the bank's capital position with a further capital issuance.
"Whilst there remains intense competition in the mortgage market and tightening of margins, the base rate rises have supported an improvement in deposit margins."
But it said: "There is still a lot to do as we now look towards the second half of 2022."
The cost of living bonus comes after inflation was confirmed to have hit a new 40-year high of 9.4% in the 12 months to June.
The consumer prices index (CPI) measure of inflation is used to explain how much the prices of everyday essentials have increased.
When inflation rises, it means that your money doesn’t go as far as it used to.
For example, if something cost £1 a year ago and the rate of inflation is 9.4%, it would cost roughly £1.09 today.
The Bank of England (BoE) thinks inflation could top 11% later this year when energy bills rise again in October.
The BoE normally tries to keep inflation at around 2% a year.
