How Much Money Do You Need to Live in London?

London is one of the most expensive cities to live in in the world. It ranks position 3 among the most expensive cities in the world. London is home to over 9 million people and is one of the cities notorious for traffic congestion. However, it is one of the cities with many opportunities and amenities like universities.

If you are thinking of moving to London, you might be asking yourself, how much do I need to live in London? Here, you are going to learn how much money you need to live in London.

How Much Do You Need to Live in London?

To determine how much money you would need to live in London, it is good that we first consider monthly living expenses in London. The following are the average monthly living expenses in London that can help you when budgeting.

  • Rent - £1,000
  • Council tax - £160
  • Transport - £180
  • Water and electricity - £150
  • Food and household items - £170
  • Clothing - £100
  • Internet - £50
  • Miscellaneous - £200

From the above expenses, you need at least £2,500 every month to live in London. This figure is higher compared to the cost of living in other parts of the UK. In a majority of areas in the UK, you need at least £1,500 every month.

Also read: Where do middle class live in London?

What Salary Do You Need to Live in London?

The best salary to live comfortably in London is £40,000 annually, which translates to about £3,300 every month. On the other hand, if you have a family, you would need at least £55,000 annually which translates to about £4,500 monthly to live comfortably in London.

The cost of living in London has been rising consistently due to high inflation caused by the Russian-Ukrainian war and the high cost of fuel. 

What Do You Need to Live in London Comfortably?

You need the following things to live comfortably in London.

  • Post address. You need a postal address where mail can be posted for you. 
  • Bank account. You also need a bank account through which you can be receiving your salary and safely keep your money.
  • Internet. Living in a digital era, you need to have good internet connectivity to live comfortably in London.
  • National Insurance Number. The UK is the country with the best public healthcare and every resident in London needs to have an insurance number. 

Also read: Will the cost of living go down UK?

Summary of How Much You Need to Live in London Comfortably

Before moving to London, you need to ask yourself; how much do you need to make to live in London? The average living costs in London stand at £2,500. As such, to live comfortably as a single person in London, you need a £3,300 salary every month. If you have a family, you need at least a £4,500 monthly salary. 

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This article was updated on December 24, 2022

Vincent Nyoike

Vincent Nyoike is an experienced business consultant and financial analyst. He is a CPA and is currently pursuing a Master of Science in Finance and Accounting at JKUAT. He holds a B.Sc. in Applied Statistics from the University of Eldoret