Moving to London? What it ACTUALLY Costs in 2024

General Costs of Moving to London

Relocating to London can be an exciting adventure, but it comes with a variety of costs that you should be prepared for. Understanding these expenses and planning accordingly can help ensure a smooth transition to life in one of the world’s most vibrant cities.

Tips for Expats Moving to London

Research Neighbourhoods

London is a vast and diverse city, each neighbourhood offering its unique charm and lifestyle. Thoroughly researching neighbourhoods to find one that matches your lifestyle and budget is crucial. To get started, watch my video on top neighbourhoods in London here.

Banking

Setting up a UK bank account is essential to avoid international transaction fees. However, to open a UK bank account, you often need a UK address. Many major UK banks offer ‘international’ or ‘expat’ accounts, such as the HSBC expat bank account. These accounts are designed for non-residents and can be a great option if you don’t yet have proof of a UK address. You can even apply for an international account online.

Healthcare

Registering with the NHS is a must, as it provides access to free healthcare. Private healthcare is also available but can be expensive, with costs varying depending on age, smoking status, location, and type of cover. For instance, Bupa plans range from £30 to £100 per month, Vitality plans from £39.31 to £69.21 per month, and WPA plans from £10 to £75 per month.

Schools

If you have children, it’s important to research and apply to schools early, as spots in good schools fill up quickly. Understanding the differences between school types in the UK is essential. You can watch my video on this topic here.

Housing Costs

London is known for its high property prices. Renting is often the best initial option as you get accustomed to the area and culture. However, renting can come at a higher ongoing cost.

Renting an Apartment

• 1-bedroom in city centre: £2,400 – £3,500 per month.
• 1-bedroom outside city centre: £1,600 – £2,200 per month.
• 3-bedroom in city centre: £3,000 – £6,000 per month.
• 3-bedroom outside city centre: £2,300 – £4,000 per month.

Buying an Apartment

• Price per square foot in city centre: £882.57 – £2,043.85.
• Price per square foot outside city centre: £603.86 – £929.02.

Utilities

Utilities are typically not included in rent, so you need to budget for these additional costs:

• Council tax
• Electricity
• Gas
• Service charges
• Water
• Internet
• TV licence: Required annually if you watch terrestrial TV.
• Monthly utilities (electricity, heating, cooling, water, garbage): Approximately £224, though this can be higher depending on location.
• Internet (60 Mbps or more, unlimited data): Approximately £41 per month.

Transportation

London’s public transport system makes it easy to get around without a car. However, if you choose to hire or buy a car, parking can be expensive, particularly if your property doesn’t include a parking space. Permit parking is available in certain neighbourhoods and can be purchased annually.

• Monthly public transport pass: £175 – £184, depending on the zones covered.
• Daily cap on bus fare: £5.25.
• Peak times: Morning peak (04:30 to 09:30, Monday to Friday) and evening peak (16:00 to 19:00, Monday to Friday).

Food and Groceries

London offers a range of dining options from street food to Michelin-starred restaurants. Eating out can become an expensive treat.

• Meal in an inexpensive restaurant: £15.
• Three-course meal for two at a mid-range restaurant: Approximately £70.
• Monthly groceries for one person: Approximately £200 – £300.

Miscellaneous

• Cell phone plan (5GB data, 1000 texts, 500 minutes): £15 – £30 per month.
• Gym membership (monthly): £40 – £60. For more luxurious options, check out my top picks for luxury gyms in London here.

Cost Comparison: Moving from the USA

Moving Costs

The average cost to move from the USA to the UK, including shipping household goods, can range from $3,000 to $10,000, depending on the volume of goods and services chosen. Additional costs such as visa fees, flights, and temporary accommodation can add another $1,000 to $5,000 to the total moving cost.

Initial Setup Costs

• Security deposits for rentals: Usually 4-6 weeks of rent.
• Initial purchase of furniture and household items: If unfurnished.
• Higher costs for mobile phones and internet setup: Compared to typical US prices.

Sources: This guide has been compiled with information from The Portable Wife, Numbeo, Rent London Flat, and Expatistan.