The average UK household spends £2,700–£3,200 per month — with housing, food, and transport making up over 60% of total costs. Here’s the full breakdown.
Average Monthly Expenses by Category
| Category | Single Person | Couple | Family (2 kids) |
|---|---|---|---|
| Housing (rent/mortgage) | £800–£1,200 | £900–£1,400 | £1,000–£1,600 |
| Council tax | £100–£150 | £120–£170 | £140–£190 |
| Energy (gas + electric) | £80–£120 | £100–£150 | £130–£200 |
| Water | £25–£40 | £30–£45 | £35–£55 |
| Food + groceries | £200–£300 | £350–£450 | £500–£700 |
| Transport | £150–£250 | £200–£350 | £250–£400 |
| Phone + internet | £50–£80 | £70–£100 | £80–£120 |
| Insurance | £50–£100 | £80–£150 | £100–£200 |
| Clothing | £30–£60 | £50–£100 | £80–£150 |
| Entertainment | £50–£100 | £80–£150 | £100–£200 |
| Personal care | £20–£40 | £30–£60 | £40–£80 |
| Total | £1,555–£2,440 | £2,010–£3,125 | £2,455–£3,895 |
Expenses by City
| City | Single Person | Family (2 kids) |
|---|---|---|
| London | £2,500–£3,500 | £4,000–£5,500 |
| Edinburgh | £1,800–£2,400 | £3,000–£4,000 |
| Bristol | £1,800–£2,300 | £2,800–£3,800 |
| Manchester | £1,600–£2,200 | £2,600–£3,600 |
| Birmingham | £1,500–£2,100 | £2,500–£3,400 |
| Leeds | £1,400–£2,000 | £2,400–£3,200 |
| Glasgow | £1,400–£1,900 | £2,300–£3,100 |
| Liverpool | £1,300–£1,800 | £2,200–£3,000 |
Where Your Money Goes (% Breakdown)
| Category | % of Total Spending |
|---|---|
| Housing + bills | 35–40% |
| Food + drink | 12–15% |
| Transport | 10–13% |
| Entertainment + eating out | 6–8% |
| Clothing | 3–5% |
| Insurance | 3–5% |
| Other (personal care, health, etc.) | 10–15% |
How to Reduce Monthly Expenses
| Category | Strategy | Potential Monthly Saving |
|---|---|---|
| Energy | Switch tariff, smart meter, insulation | £30–£60 |
| Groceries | Aldi/Lidl, meal planning, reduce waste | £50–£150 |
| Insurance | Compare annually, increase excess | £20–£50 |
| Subscriptions | Audit and cancel unused | £20–£50 |
| Phone | SIM-only deal on O2/Voxi | £15–£30 |
| Transport | Cycle, WFH, railcard | £50–£150 |
Bottom Line
If your spending feels high, housing is the biggest lever — location choice alone can save £500–£1,000/month compared to London. For day-to-day savings, switching to budget supermarkets (Aldi/Lidl) and annually comparing energy, insurance, and phone deals can save £200–£400/month without major lifestyle changes.
See our best budgeting apps UK or how to save money UK for more.
Tags: