The three numbers
Annual cost
$53,750
average across our cities
FIRE target
$1,343,750
25× annual spending
Effective tax
20%
on employment income
Living in the United Kingdom costs roughly $53,750 a year across the 8 cities we track, which puts a full FIRE target near $1,343,750 at a 4% withdrawal rate. Income is taxed at roughly 20% effective, which is what actually decides how fast you get there.
The UK is the 26th cheapest of the 36 countries we hold cost data for — about 2% less than the average US city. A portfolio that funds an ordinary American life funds a longer one here, which is the whole arithmetic behind moving.
The spread inside the country is $36,000 a year — London against Glasgow — which is large enough to move your FIRE date by years on its own.
| City | Per year | FIRE number |
|---|---|---|
| London | $80,000 | $2,000,000 |
| Manchester | $54,000 | $1,350,000 |
| Brighton | $54,000 | $1,350,000 |
| Edinburgh | $52,000 | $1,300,000 |
| Bristol | $52,000 | $1,300,000 |
| Birmingham | $48,000 | $1,200,000 |
| Leeds | $46,000 | $1,150,000 |
| Glasgow | $44,000 | $1,100,000 |
Every FIRE number here is 25× the annual cost, the standard 4% rule. Change the withdrawal rate and the whole column moves — a 3.5% rule multiplies by 28.6 instead.
Retiring in the average US city takes about $1,364,775. Retiring in the United Kingdom takes $1,343,750 — a saving of $21,025. That difference is not a discount on your lifestyle, it is years off the front of your working life, because it is the portfolio you no longer have to build.
Put differently: a $1,000,000 portfolio funds about 19 years of life in the United Kingdom at a 4% withdrawal rate, against 18 years in the average US city.
On cost, the UK sits just above France and just below New Zealand — worth checking both if the country matters less to you than the number does.
The cost figure is annual spending for one person living an ordinary middle-class life — housing, food, transport, healthcare, the rest — not a backpacker budget and not a luxury one. The tax figure is an effective rate on employment income, not a marginal bracket, so it already accounts for the allowances most people get.
Both are estimates, and they are the right kind of estimate for a decision this size: close enough to tell you whether the UK shortens your timeline, not precise enough to budget a month on. Put your own income and savings in and the answer becomes yours rather than the average's — find your freedom date or model the move directly with the Expat FIRE calculator.