- Download our Moving to the UK Guide (PDF)
As with any country, the cost of living in the United Kingdom varies depending on an expat's lifestyle choices and location. Major cities such as London have a well-earned reputation of being pricey to live in, and while life in the rest of the UK is by no means cheap, the cost of living is substantially lower outside these big metros.
In 2023, the Mercer Cost of Living Survey ranked London as the 17th most expensive destination out of 227 destinations surveyed. Other UK cities appear much further down the list, including Edinburgh (86th), Glasgow (109th), Birmingham (118th) and Aberdeen (119th).
Many expats move to the UK in search of new job opportunities and a better quality of life. Although salaries tend to be relatively high, the reason for this is often to offset the higher cost of living in the United Kingdom. But there are plenty of ways to save while still getting the best of expat life here. Most expats living in the UK will have access to at least some level of free healthcare on the country's National Health Service (NHS), and they'll be eligible to send their children to British state schools at no cost.
The costs of accommodation, transport and entertainment are fairly high, but expats who take the time to investigate will find plenty of discounts and ways to circumvent this.
Cost of accommodation in the United Kingdom
As is the case for expats all over the world, a significant portion of their income will be spent on accommodation. Renting doesn’t come cheap, especially in cities, but most expats still choose this over buying property in the UK, which is impossibly expensive in a city such as London.
London has the country's most expensive rent, though there are still large price variations between different areas in the city. Rent in other big cities such as Manchester and Glasgow is a little more reasonable but still pricey, while rental costs in smaller towns will generally be on the lower side of the scale. Some students and young expats choose to rent a room within a larger house or apartment, which can save a substantial amount of money. House-shares are also a great opportunity to meet other young people.
Utility costs vary depending on the size of the property. It's worth noting that heating costs can increase considerably during winter, particularly in an airy older property without proper insulation.
Council tax is usually not included in the cost of renting a property in the UK and is loosely based on the value of the property.
Cost of education in the United Kingdom
Expats with temporary residency in the UK will be eligible to send their children to a state school at no cost. Standards vary considerably, and the better state schools tend to be located in more affluent areas. Parents will be required to pay for uniforms, stationery and school excursions.
British private schools, or independent schools as they are commonly called, charge hefty fees. These schools usually offer a higher standard of education and a host of extracurricular activities.
Many expats living in the UK send their children to an international school, which allows their child to continue studying the same syllabus as they would in their home country and therefore offer the least disruption to the child’s education. Fees at these schools can be prohibitively expensive.
Cost of transport in the United Kingdom
The United Kingdom is served by a national network of trains and long-distance buses, but with the growth of low-cost airlines in Europe it is also possible to fly between cities at reasonable prices. Train travel in the UK can be expensive, though travellers can save money by booking the journey well in advance or by investing in a railcard. Travelling by long-distance bus in the UK is a more economical option, though.
Within British cities, the price of public transport varies considerably. London has the UK’s most comprehensive public transport network, but fares are relatively steep. Commuters can save money by investing in weekly or monthly travel cards.
While most expats living in the UK won’t invest in a car, it is fairly cheap to buy and maintain one. Petrol prices fluctuate but are reasonable compared to elsewhere.
Cost of healthcare in the United Kingdom
One of Britain’s greatest assets is its National Health Service (NHS). Public healthcare in the UK is free to all British citizens and permanent residents. Citizens of the European Economic Area (EEA) can use their European Health Insurance Card (EHIC) to pay for medical treatment in the UK. Non-EEA expats who are 'ordinarily resident' (i.e. in the country for longer than six months, but not yet a permanent resident) must pay a yearly surcharge in order to have access to the NHS.
The United Kingdom also has some excellent private healthcare facilities and private healthcare is the best option for those who want to avoid long waiting lists and are happy to pay for speedier service. The cost of private health insurance varies according to how comprehensive the policy is and the state of an individual’s health.
Cost of living in the United Kingdom chart
Prices vary across the UK – these are average costs for London in January 2023. Prices may also vary depending on product and service provider.
Accommodation (monthly rent) |
|
Three-bedroom apartment in city centre |
GBP 3,500 |
Three-bedroom apartment outside of city centre |
GBP 2,400 |
One-bedroom apartment in city centre |
GBP 2,100 |
One-bedroom apartment outside of city centre |
GBP 1,450 |
Shopping |
|
Milk (1 litre) |
GBP 1.15 |
Dozen eggs |
GBP 2.57 |
Loaf of white bread |
GBP 1.10 |
Rice (1kg) |
GBP 1.82 |
Packet of cigarettes (Marlboro) |
GBP 13 |
Transport |
|
City centre bus/train fare |
GBP 2.60 |
Taxi rate per km |
GBP 1.70 |
Petrol/gasoline per litre |
GBP 1.78 |
Eating out |
|
Big Mac Meal |
GBP 7 |
Coca-Cola (330ml) |
GBP 1.77 |
Cappuccino |
GBP 3.36 |
Local beer (500ml) |
GBP 6 |
Three-course meal for two at a mid-range restaurant |
GBP 70 |
Utilities |
|
Internet (uncapped ADSL per month) |
GBP 30 |
Mobile call rate (mobile-to-mobile per minute) |
GBP 0.12 |
Utilities (average per month for standard household) |
GBP 270 |
Further reading
►For more on expat money matters, check out Banking, Money and Taxes in the United Kingdom
Expat expriences
"I’ve generally found things in Britain are the same price as in Canada but in pounds instead of dollars, so things are close to twice as expensive. Rent is quite costly, along with eating out and consumer purchases. Electronics are particularly expensive, so make sure you won’t need to replace your phone or laptop while here.
"Groceries, however, tend to be cheaper by comparison even at the higher end shops such as Marks & Spencer. The quality of the food in grocery shops is one thing I’ve really appreciated; generally, things are quite fresh and healthy." Get more insights from Canadian expat Allison in our interview with her
Are you an expat living in The United Kingdom?
Expat Arrivals is looking for locals to contribute to this guide, and answer forum questions from others planning their move to The United Kingdom. Please contact us if you'd like to contribute.
Expat Health Insurance
Cigna Global Health Insurance
With Cigna, you won't have to rely on foreign public health care systems, which may not meet your needs. Cigna allows you to speak to a doctor on demand, for consultations or instant advice, wherever you are in the world. They also offer full cancer care across all levels of cover, and settle the cost of treatments directly with the provider. Cigna is currently offering a 10% discount for seniors (over 60) on their Silver package.
Moving Companies
Moving Internationally?
Sirelo has a network of more than 500 international removal companies that can move your furniture and possessions to your new home. By filling in a form, you’ll get up to 5 quotes from recommended movers. This service is free of charge and will help you select an international moving company that suits your needs and budget.
Get your free no-obligation quotes from select removal companies now!