The individual tax allowance (the amount you can earn before paying tax) is £10,000. After that, a 20% basic rate tax is applied to the first £31,865 earnings, with a 40% higher rate kicking-in on income between £31,865 and £150,000.
If you are considering a move to London, you will need to appreciate that accommodation is not cheap, and the demand for housing is high, especially in the rented sector. Monthly rents in the capital have climbed 3% year-on-year, pushing rents ahead of salary rises. If you’re planning to buy, house prices in London continue to rise at a rate of almost 20% a year.
Living in London
Life in London is expensive. Everything from a haircut to a coffee is likely to cost more than you’re used to, but higher salaries should compensate somewhat. There is a wealth of culture and theatre to enjoy, as well as art galleries and many free attractions, like parks, museums and open spaces.
London is home to many excellent schools, both private and state, as well as renowned colleges and universities.
Healthcare is available privately here, but is also provided free via the National Health Service. London also hosts some of the most eminent teaching hospitals in the world.
Unlike the extremes found in continental Europe, London has a temperate climate with four distinct seasons. Weather can be unpredictable, with unseasonal storms, icy spells, and heat waves. The hottest month is usually July, and January the coldest. Temperatures range between 76°F in summer and 44°F in winter.
Some comparison prices for four major cities.
|London (£s)||Berlin(euro)||Hong Kong(HK dollars)||Singapore(S dollars)|
|Average annual salaryFor an Account/Director||53,000||76,631||458,963||98,763|
|Average cost of a VW Golf||16,495||19,000||239,500||140,000|
|Average cost of a litre of fuel||1.36||1.59||16.97||2.12|
|Average monthly rentOne bed apartment||1,500||600||16,205||3,600|
|Average monthly disposable salary after tax||1,752||1,815||19,277||3,932|
|Average annual mortgage rate||4.12%||2.95%||2.60%||2.45%|
|Average cost of monthly utilities||145||180||1,332||193|
For those considering a move to London, there is undoubtedly much to enjoy: the chance to work in one of the world’s most vibrant cities, where real opportunity still exists, and the chance to live in one of the worlds busiest multicultural centres. The rest of Europe is just a train-ride away, thanks to the Eurostar rail link. London truly has something for everyone, and is still the premier destination for many people across the world.
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