Average UK Salary: What People Actually Earn

The UK salary benchmark: what the ONS figure actually means

The median gross annual salary for full-time UK employees who had been in their jobs for at least a year was £39,039 in April 2025, according to the ONS Annual Survey of Hours and Earnings (ASHE) — the authoritative source for UK earnings data, published each October based on a 1% sample of HMRC PAYE records covering approximately 174,000 employees.

The ONS uses the median rather than the mean (arithmetic average) as its headline measure, because median is not distorted by the small number of very high earners at the top of the distribution. The mean for all UK employees sits at approximately £40,269 — pulled upward by top earners in finance, law and technology. For budgeting a move to the UK, median is the number to use. Our UK cost of living hub covers how that salary translates into a realistic monthly budget across different regions.

Including part-time employees brings the all-employee median down to approximately £32,890 annually. The full-time figure of £39,039 is the most widely cited benchmark and the most useful for expat salary planning, as it reflects employees on standard contracts rather than those working reduced hours by choice.

Median, mean, and what they mean for you

The gap between median and mean matters for anyone benchmarking a salary offer or negotiating pay. Half of all full-time UK employees earn below £39,039 and half earn above it. The mean of approximately £40,269 is higher because a relatively small group of very high earners — concentrated in financial services, law, and senior management — pull the average upward significantly.

In practical terms: if a prospective employer tells you they pay “above average,” ask which average. A salary of £41,000 is above the median but close to the mean. A salary of £50,000 places you in approximately the top 25% of full-time UK earners. £60,000 puts you in the top 10%. These thresholds matter both for personal financial planning and for visa eligibility, which we cover below.

Salary by UK region

Where you work in the UK has a larger effect on salary than almost any other single factor. The ONS ASHE 2025 data shows a persistent and significant gap between London and the rest of the country — but also that the London premium looks considerably less impressive once housing costs are factored in.

Source: ONS ASHE 2025 (provisional). Regional figures are approximate medians derived from ASHE Table 3 and Table 25 datasets. Annual equivalents calculated at 52 weeks. “~” indicates approximation.

Salary by sector

Sector is the second major determinant of UK earnings after region. The ASHE data breaks down median weekly earnings by industry section, revealing significant variation between the highest and lowest paying sectors.

Approximate median annual salary ranges derived from ONS ASHE 2025 sector-level weekly earnings tables. Figures reflect full-time employees. Ranges indicate variation within sectors across regions and experience levels.

Public sector vs private sector

One of the more counterintuitive findings in the ASHE 2025 data is that public sector workers now earn more at the median than their private sector counterparts. Median weekly earnings for full-time employees were £807.67 in the public sector and £752.28 in the private sector in April 2025 — a gap of approximately £55 per week, or around £2,860 per year.

This reversal of the historical private sector premium reflects two factors: significant public sector pay settlements in 2024–25, particularly in the NHS, teaching, and civil service; and the relatively lower concentration of very high earners in the public sector, which means the public sector median is less compressed relative to its mean than in the private sector.

For expats, the practical implication is that NHS, teaching, and civil service roles now offer competitive base salaries relative to many private sector equivalents — particularly at mid-career level — with the additional benefit of defined-benefit pension contributions that are significantly more generous than typical private sector arrangements.

Gross vs net: what you actually take home

The figures above are gross — before income tax and National Insurance contributions (NICs). Understanding the deductions is essential for accurate budget planning, as the UK operates a progressive tax system where marginal rates increase at set thresholds.

For the 2025–26 tax year, the key thresholds for employees in England, Wales and Northern Ireland are: a Personal Allowance of £12,570 (income below this is tax-free); a Basic Rate of 20% on income between £12,571 and £50,270; a Higher Rate of 40% on income between £50,271 and £125,140; and an Additional Rate of 45% on income above £125,140. National Insurance Class 1 contributions are 8% on weekly earnings between £242 and £967, and 2% above £967.

Scotland has separate income tax rates set by the Scottish Parliament (the Scottish Rate of Income Tax, SRIT), with additional bands below and above the standard UK rates. Employees working in Scotland should verify their liability at the Scottish Government tax page.

Illustrative figures based on 2025–26 England income tax and National Insurance rates. No student loan deductions, pension contributions or other adjustments included. Actual take-home varies by individual circumstances. Use HMRC’s income tax estimator for a precise calculation.

The gender pay gap

The ONS gender pay gap measure compares median hourly earnings (excluding overtime) for male and female full-time employees. The gap narrowed to 13.1% in April 2024, down from 14.2% the previous year, with median gross hourly earnings for men at £18.26 and women at £15.87. The 2025 data shows further modest narrowing continues.

The gap varies significantly by sector and occupation. It is narrowest in roles with structured pay scales — teaching, nursing, and public administration — and widest in financial services, senior management, and law, where bonus payments (excluded from the hourly measure) compound the disparity. For expat women in professional roles, understanding which sectors and employers have the smallest gaps is a practical salary negotiation consideration.

National Living Wage and minimum wage rates

The National Living Wage (NLW) is the statutory minimum hourly rate for workers aged 21 and over in the UK. From April 2025, the NLW is £12.21 per hour, which equates to approximately £22,918 per year for a full-time employee working 36 hours per week. Lower rates apply to workers aged under 21 and apprentices.

The NLW is set annually by the government following recommendations from the Low Pay Commission, and has increased significantly over the past decade. The current rates for 2025 are: £12.21 (21 and over), £10.00 (18–20), £7.55 (16–17 and apprentices in first year). Employers are legally required to pay at least the applicable minimum wage rate; failure to do so is a criminal offence.

Salary and the Skilled Worker visa threshold

For many international workers, salary is not just a lifestyle question — it directly affects visa eligibility. The Skilled Worker visa requires a minimum salary of £41,700 for the standard route (or the “going rate” for the specific occupation if higher), following the threshold increases introduced in April 2024.

This threshold now sits above the national median full-time salary of £39,039. In practical terms, international workers sponsored on a Skilled Worker visa will typically earn above the median for their region, which has implications for cost of living planning: visa holders are, as a group, somewhat better positioned than the median earner in most UK regions outside London.

Certain roles qualify for lower thresholds: shortage occupation roles, new entrants to a profession, and roles in health and education. The full list of occupation codes and their going rates is maintained on GOV.UK and is updated periodically — always verify the current threshold before accepting a job offer.

What salary do you need in each major UK city?

The question of what constitutes a “good” salary in the UK is fundamentally a question of location. The same gross income produces very different living standards depending on where in the UK you are based, primarily because of the disparity in rental costs. The table below illustrates the approximate minimum comfortable salary for a single professional renting a one-bedroom flat in each major city, based on current average rents from the ONS PIPR (January 2026) and typical fixed monthly costs.

Comfortable salary estimates assume rent at approximately 35% of net income, based on standard financial planning guidance. ONS PIPR January 2026 rent data. Figures are illustrative — actual circumstances vary. See individual city guides for full breakdowns.

The salary picture in the UK in 2026 rewards specificity. Knowing the median for your sector in your target city — not just the national headline figure — is the foundation of realistic financial planning for a UK move. A £39,039 median tells you where the middle of the distribution sits; understanding where your role, sector and city place you within that distribution tells you what you can actually afford.

For newly arriving workers on a Skilled Worker visa, the £41,700 threshold means starting above the national median by design — but in London, that margin is quickly absorbed by housing costs. The cities that offer the best combination of strong sectoral employment and affordable living costs — Manchester, Leeds, Edinburgh and Glasgow in particular — deserve serious consideration as alternatives to the capital.

Salary data from ASHE is published annually each October, reflecting pay periods the previous April. The figures on this page will be superseded when ASHE 2026 is released. For the most current data, the ONS ASHE bulletin is freely accessible and updated annually.