Cost of living in the UK

Cost of Living in UK

Cost of Living

As an international student, one of the things you might be wondering about is the cost of living in UK. Of course, you have to worry about the cost of college, but things like rent, utilities, food, and recreation also add up to the whole cost. In this article, we have collected the average cost of everyday expenses in the UK which are essential for a comfortable life. Let’s take a look at them and figure out how your budget will be affected and what you should do to manage your finances properly.

If, as a student, you decide to live in London, you will be paying much more than you would in other parts of the country. In 2020, London was ranked among the 10 most expensive cities to live in Europe. Of course, there are ways to get rid of some of the costs, but it will still be quite pricey.

For example, you can choose to live in northern England instead of renting a house in southern England which turns out to be more expensive than the first. In general, the costs vary greatly over the whole of the UK, which makes it difficult to set a cost of living in stone.

Just like in any other country of the world, even the UK has its most expensive parts of the country as well as its most affordable ones. So, wherever you go, just like in the UK, you will find significant differences in the living costs of different parts of the country.

As a single student living in the UK, the average weekly budget including rent should be approximately £240.89 ($317.92 USD). You can certainly live off of less/more than that depending on the flat you are renting, with an average of £12,000/$15,000 USD per year (excluding tuition fees).

Where Does This Calculation Come From? Let’s Take a Closer Look

The average rent that you will pay in UK varies depending on where you live and the type of accommodation you have. A one-bedroom flat averages at £758 (~$1000 USD) per month if you’re in the city; £614 (~$810 USD) if you’re outside of the city. It may be more if your energy costs are included in the rent. Also, if you decide to share your flat, the cost of accommodation and utilities will be cut in half.
Council Tax
If you live in the UK, you have to pay council tax. They calculate how much you should pay per year based on where you live and how many people live with you (if you live alone, it’s much less). This tax helps pay for trash collection, police forces, and street maintenance. It usually averages about £25 ($40 USD) per week.
If these aren’t included in the rent, the total for gas, electricity, and water per month is about £155/$204 USD. If you live alone or are not home that often due to sightseeing, socializing, or studying, those costs may be less. Heat may also make utilities vary, but that estimate should at least help you budget throughout the year.
Bank Account
If you are planning to move to the UK, you will have to open a new bank account to pay for expenses and bills, as well as to send and receive money. Depending on what UK bank you choose, fees can really add up, especially if you do international transfers.

A Borderless Account with Transferwise could be an ideal solution to get local bank account details and spend, send, and receive money while you are there.

TV License
In the UK, you must pay for a television license if you’re watching TV at all, even if it’s on a computer or tablet. The cost of the license is £157.50 ($207 USD) per year for a colour television (£53/$70 USD for black and white TV sets). Luckily, this is per home and not per person, so if you have roommates, you just split this cost.
Travel Costs
Many people in the UK will buy passes instead of having a vehicle. It makes the commute faster and you can travel much further for much less. A monthly pass for most services. averages at £55, but students can get some great discounts. Check out our Transport in UK guide to learn more about public transportation.
Mobile Phone Plan
While you’re in the UK, you are probably going to get yourself a local phone number to communicate with friends, family, and other people. There are many mobile networks you can choose, some are cheaper, some more expensive depending on the services they offer you. You can read more about UK phone carriers and plans here.
Other Miscellaneous Costs
The likes of food, internet, books, toiletries, phone plan and other items and services you may need. Make sure that you also save a certain amount of cash for potential health care issues that come up, excess school costs that you weren’t expecting, and general emergencies.

A large part of your expenses will also go towards other specific items, which might not seem a lot on their own, but will add up to your monthly expenses. Here are a few specific things you should count towards your budget:

  • A meal at a pub or restaurant: £12 ($15.50 USD).
  • Combo meal at a fast-food restaurant: £6 ($8 USD)
  • Litre of milk: £1 ($1.32 USD)
  • 1 kg (2.2 lbs) of chicken breast: £6 ($8 USD)
  • A pair of jeans: £59.18 ($78.10 USD)
  • Half of a litre of beer 1.72 ($2.27 USD)
  • 5-litre bottle of water £0.95 ($1.25 USD)
  • Produce per kg: £1 to £2 ($1.32 to $2.64 USD)

If you are looking for a more comprehensive list of budgeting information and more information on the cost of living in the UK, then check out the Numbeo report on the cost of living in the United Kingdom. As you can see, the prices in the UK are very similar to buying most of those same things in the United States or Australia. Some of them are much cheaper (for example, produce).

That’s primarily due to the climate and the availability of those products in the UK as compared to their availability throughout the year in other countries. In general, the cost of living is fairly average in the UK, and it won’t take much of an adjustment to your current budget in order to live and thrive there.

It will take even less of a budget adjustment if you decide to work while studying in the UK. Many students decide to work in the UK while they are attending university; most employers will be flexible with your university schedule as well. Even if you’re only working five to ten hours a week, a job can help alleviate some of the costs you may accrue while you are studying in the UK.

Cost of Living in London is high, but compared to other world’s largest cities, the British capital is a quite affordable city to live in. Besides this, London guarantees the same quality of lifestyle as those cities, while carrying the same desirability among people who look at turning London to their future home.

However, for an expat that is about to land at a totally different and unknown environment (and that is not the case only with London), maintaining financial stability is hard to accomplish. You will need to make some estimations which in turn will absolutely help you to make right choices when it comes to your daily life schedule like finding a cheaper apartment to rent, an affordable restaurant to eat, a shopping place, a suitable option to commute and so on.

The first and foremost concern you will have when arriving in London is renting an apartment. As one of the world’s greatest cities in the world, normally rental prices are higher than in areas around. The rental price gap between downtown and peripheral areas in London is not that large as it’s common in other world’s biggest cities.

Simply put, rent prices in London are higher no matter where you’re living in.

Currently, renting an apartment in London will cost you over a thousand pounds per month on average. It is estimated that the monthly rent for a one-bedroom apartment at the city centre costs on average £1,740. A similar apartment in suburb neighbourhoods has a monthly rent of £1,231 on average. Overall, the monthly cost for renting such an apartment in the downtown area ranges between £1,200 and £2,200, while in periphery ranges from £900 to £1,500.

If you’re looking for a larger apartment, then the rent may easily go over £3,000. For example, renting a three-bedroom apartment located in the city center, will cost you on average £3,141. If you do a closer research while you’re there you can find such an apartment with a monthly rent between £2,250 and £5,000. Outside the center, you can find such an apartment with a price ranging from £1,700 to £2,800 (£2,055 on average.)

Renting an apartment carries additional responsibilities like taking care of utilities’ bills. On average for an apartment which covers an area of 85m2, you will have to pay £170 each month for electricity, heating, cooling, water and garbage altogether. Whereas, for a 45m2 apartment on average you will have to pay £120. In these cases it is always good to find someone with whom you can share the apartment and consequently you will pay less for the rent. This is what most international students in London do.

The cost of living in London will also depend on how well you manage food costs. The prices of some of the most elementary items are higher in London. Fortunately, UK universities have dining halls within their campus where students can purchase a membership card and eat regularly.

These dining halls are highly committed to offering students a diversity of menus each including a wide range of meals at a lower price. This way you can choose freely what matches your budget and what tastes better for you. With a smaller margin of change, the price of a meal at these dining halls varies between £5 and £10.

On the other hand, eating in London’s restaurants is not a preferable option for students. On average a meal at an inexpensive restaurant costs £15 with a range from £10 to £30.  In a slightly much expensive restaurant, the price of a meal for two persons ranges from £44 to £100, or on average £60.

In other words, if you would eat in a restaurant regularly once per day, it would cost at least £450. If you add other unavoidable living expenses to this amount of money, then the cost of living in London can be equal to a fortune. Said otherwise, it would be unaffordable.

The prices of some of the most important and basic items in London, as of 2020, include:



Bread (500g)


Water (1.5litre)


Milk (1 litre)


Eggs (12)


Local Cheese (1kg)


Beef (1kg)


Chicken Fillets (1kg)


Tomato (1kg)


Potato (1kg)


Onion (1kg)


Rice (1kg, white)


Apples (1kg)


Oranges (1kg)


Banana (1kg)


Labeling a city as a cheap or an expensive place to live can be subjective. To avoid this, the comparison is often a good metric to give a better measurement to what extent a city is cheaper or expensive. The data we have given below draw a parallel between the average food costs in London and other major cities in the UK.

The average food cost per month in different cities in the UK is:

The UK City

Average Food Cost Per Month

















The table shows the recommended monthly grocery expenses per person in different cities of the UK, according to Numbeo.


To summarize the table:

  • The average food cost in London is 5% higher than in Liverpool (the first and last in the above table).
  • The average food cost in London is 7% higher than in Manchester. The average food cost in London is 13% higher than in Glasgow.
  • The average food cost in London is 3% higher than in Cardiff.

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