8 of the cheapest places and cities to live in the UK (2023)

If you’re thinking of moving to the UK, well-known cities like London, Manchester, or Leeds may be first on your list. And while they’re vibrant, exciting and multicultural cities, living in them inevitably comes at a premium. Rents can be very high - so can the price of eating out and shopping generally. So, if you’re going to be living on a tight budget, you may want to consider less expensive options.

To give you some food for thought, we’ve put together a list of eight of the cheapest places to live in the UK. Plus, we’ve added a few facts and figures about these areas including: population, cost of living and average wages. Remember, the UK is an exciting and varied country and needn’t cost you a fortune to live in.


Table of contents

  • 1. Kingston upon Hull 

  • 2. Aberdeen

  • 3. Leicester

  • 4. Coventry

  • 5. Derby

  • 6. Dundee

  • 7. Newcastle upon Tyne

  • 8. Swansea

  • WorldRemit makes living abroad easier

  • The cheapest places to live in the UK: FAQs


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8 mins readUpdated
Street with Union jack flags hanging from buildings

1.Kingston upon Hull

Hull – or Kingston upon Hull, to use its proper name - sits on the northern shore of the Humber Estuary, a few miles inland from the east coast of England. Although it may seem tucked away in the top corner of England, it’s very accessible by road, rail, sea and air. There’s even a direct train to London that takes less than 3 hours.

It’s part of the East Riding of Yorkshire, which means that this bustling city is a stone’s throw from some of Britain's best countryside, as well as stunning coastlines. The whole city centre's been revamped, with spectacular lighting and unique fountains in Queen Victoria Square and an Italian-style plaza surrounding Hull Minster – England’s largest parish church.

There’s also the revitalised marina and fruit market, which have become the new cultural and social heart of the city. And the old warehouses now house art galleries, contemporary bars and music venues.

  • Population: 266,463

  • Average income: £34,585 for a male, £29,199 for a female

  • Average rent: £479

  • Cost of living: £614.3 without rent (1 person) & £2,092.6 (family of 4)

  • Average house price: £121,134

Landscape picture of buildings in Hull

2. Aberdeen

Home to approximately 215,000 people, including 15,000 students, Aberdeen is the third largest city in Scotland, after Glasgow and Edinburgh. Also known as the ‘Granite City’, Aberdeen has a relaxed atmosphere and many different types of people and cultures. Plus, it has stunning landscapes, mountains and coastline ,right on its doorstep.

If you’re a sun-seeker, however, Aberdeen may not be for you. In winter there’s only six hours of daylight, with temperatures dropping below 0°C in January. In summer the temperature can rise back to 20°C, with 18 hours of daylight during July.

Described as the ‘centre for world oil’, over 900 companies in Aberdeen are in the energy sector, employing approximately 40,000 people. And when it comes to renting, it’s actually the cheapest city to live in the UK.

  • Cost of living: £685.2 without rent (single person) & £2,394.8 without rent (family of 4)

  • Average home value: £189,392

  • Average rent: £542 (1 bedroom) & £1,228 (3 bedrooms)

Street in Aberdeen with cars and houses

3. Leicester

Located in the East Midlands County of Leicestershire, the city of Leicester’s rich history spans the Roman, Anglo-Saxon and Viking eras. It rose to prominence in the Industrial Revolution, as a centre for textiles, footwear, and later heavy industry.

Today, with a population of 368,600, Leicester is frequently named one of the best cities in the UK in which to live and work, beating the likes of London, nearby Birmingham, and Nottingham amongst others. It boasts great schools, local amenities like the lively cultural quarter, the Highcross Shopping Complex and various theatres, museums, and entertainment venues. For a real breath of fresh air, the National Forest is close by.

Situated 40 odd miles northwest of Birmingham, and around 28 miles south of Nottingham, Leicester is extremely well connected by road and rail - London is just over an hour away by train.

  • Cost of living: £660.90 without rent (single person) & £2,236 without rent (family of 4)

  • Average home value: £273,929

  • Average income: £25,000

  • Average rent: £728 (1 bedroom) & £1,135 (3 bedrooms)


4. Coventry

Coventry with a population of 345,300 (in 2021), is located on the River Sherbourne, and is the 9th largest city in England. Once belonging to Warwickshire, it’s now part of the West Midlands Country. There are two universities, and it was awarded the ‘City of Culture’ in 2021.

It’s also one of the most accessible cities in the country, located right in the centre of the UK. It’s an hour from central London by train, and twenty minutes from Birmingham.

It’s an extremely diverse place to live, too; and is surrounded by the beautiful Warwickshire countryside. Recently, it has become something of a cultural hub, and boasts some world class attractions - and is increasingly a destination for foodies.

  • Cost of living: £683.80 without rent (single person) & £2,229.40 without rent (family of 4)

  • Average home value: £245,800

  • Average rent: £649 (1 bedroom) & £1,274 (3 bedrooms)

  • Average income: £35,804

Street in Coventry with a tall building, a church and cars

5. Derby

Derby, with a population of 261,400, was once voted the least stressful place to move to in the UK. Perhaps that’s because it’s so close to some of Britain’s most stunning countryside. The Peak District National Park is nearby - filled with wild moors, dales, rivers and springs, and hundreds of trails for walking, cycling and horse riding.

The city is full of culture thanks to its many galleries, museums and international restaurants. It’s split into three primary sections: the Cathedral Quarter, St Peter’s Quarter and the Intu Derby shopping area. The former are more historical parts, with boutiques, independent cafes and restaurants.

There are two primary rail stations in Derby, and you can get to London Paddington in under 90 minutes. Nottingham, Birmingham and Leicester are also accessible via train.

  • Cost of living: £703.80 without rent (single person) & £2,350.10 without rent (family of 4)

  • Average home value: £234,789

  • Average income: £27,394

  • Average rent: £633 (1 Bedroom) & £1,189 (3 bedrooms)


6. Swansea

Swansea, in South Wales, is both a city and a county with a population of 237,800. It’s fast becoming one of the most popular places to live in the UK. Its waterfront location offers a great urban lifestyle alongside beautiful coastline and beaches.

The city is very proud of its Welsh identity, and has a strong sense of patriotism. In fact, 13% of Swansea county’s population now speaks Welsh, and there’s been a resurgence of Welsh-only speaking schools as a result.

If you’re a fan of the arts, Swansea is for you. The city is home to many live music venues. Plus, annually, the city hosts a number of different festivals, attracting artists from across Wales and the UK.

Swansea has very good travel links: travel by road to London via the M4, and around Wales on the A48. There are also excellent rail links with regular trains to Cardiff, Newport and London. For international and domestic flights, Cardiff Airport is just 44 miles from Swansea.

  • Cost of living: £680.30 without rent (single person) & £2,393.40 without rent (family of 4)

  • Average home value: £204,245

  • Average income: £21,000

  • Average rent: £880 (1 Bedroom) & £1,191 (3 bedrooms)

Beach in Swansea with the sun shining through clouds

7. Dundee

Dundee is a vibrant, modern, cosmopolitan and affordable city set in a stunning location at the mouth of the River Tay, on the east coast of Scotland. With a population of 148,820 (2021), it’s the fourth largest city in Scotland. It’s also the sunniest city in Scotland - even in winter it gets more sunshine than the rest of the country.

The Sunday Times guide put Dundee in its top 10 list of best places to live in the UK - twice! This took into account good employment, cost of living, great schools and community spirit. It’s also a city full of culture with the V&A Design Museum, Dundee Rep Theatre and Dundee Contemporary Arts (DCA).

Dundee is extremely accessible, too. You can be in the countryside in 20 minutes and drive to 90% of the rest of Scotland in only 90 minutes. London is a 1.5 hour direct flight away, or six-hour train ride away.

  • Cost of living: £707.20 without rent (single person) & £2,378.10 without rent (family of 4)

  • Average home value: £177.040

  • Average income: £32,959

  • Average rent: £558 (1 Bedroom) & £1,320 (3 bedrooms)

View of Dundee's rooftops and buildings

8. Newcastle upon Tyne

With a population of 300,200 (2021) Newcastle-upon-Type is probably the north east of England’s most iconic city, and one of the UK’s most visited destinations. Located on the banks of the mighty River Tyne, Newcastle is home to many legendary landmarks, cultural attractions, and sought-after suburbs.

At one time, Newcastle - or ‘The Toon’ as it’s affectionately called - was a busy shipping port with a prosperous ship-building industry. More recently, it has emerged as an innovative hub, busy in the fields of science, finance, retail, education, and tourism.

It offers affordable housing, a bustling city centre, good transport links and access to a range of leisure amenities. So it’s popular among budding professionals, young couples, and expanding families alike.

  • Cost of living: £738 without rent (single person) & £2,504 without rent (family of 4)

  • Average income: £35,000

  • Average home value: £207,234

  • Average rent: £759 (1 Bedroom) & £1,207 (3 bedrooms)

Tyne bridge in Newcastle

WorldRemit makes living abroad easier

If you do decide to move to one of these cheapest places to live in the UK, or to another country altogether, we can be there to support you with a way to stay connected to those you love. If you need to send money back to family and friends, we offer excellent low-cost, online money transfer service: one that allows you to send fast and secure transfers. Every time.



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The cheapest places to live in the UK: FAQs


Where is the cheapest city to buy in the UK?

A study conducted by Buzz Capital (property loan company) found that when it comes to the average house price, Gateshead was the most affordable city in the UK. Properties cost an average of £155,375 - £120,000 less than the average UK house price. Gateshead is situated in the north east of England in the county of Tyne and Wear.


Which city has the cheapest rent in the UK?

According to Zoopla, Aberdeen is the cheapest major city to rent a home in the UK. It has an average monthly rent of £636, although that’s a rise of 10.9% in the last year.


Is it cheaper to live in the countryside in the UK?

Yes. The cost of living in the country as opposed to major cities is in general much cheaper. You can get a lot more property for your money - whether renting or buying. However, you will need to weigh this up against your access to amenities like schools, hospitals and travel links.



The contents of this blog post does not constitute legal or financial advice and is provided for general information purposes only. If you require specific legal and / or financial advice you should contact a specialist lawyer or financial advisor. Information true at time of publishing.



Sources


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