Software Engineer · City comparison · 2026

London vs Liverpool

Liverpool wins on purchasing power. Liverpool software engineers have £383/month more disposable income after rent than their London counterparts.

London salary
£72,000
£4,360/mo take-home
Liverpool salary
£52,000
£3,393/mo take-home
Liverpool wins by
+£383
per month after rent
Winner on purchasing power
Liverpool

After paying rent, a software engineer in Liverpool retains £383/month more than in London — that's £4,596/year extra in purchasing power.

+£383
per month
London
View full breakdown →
Gross salary £72,000
Net monthly £4,360
Rent (1-bed) £2,150
Rent-to-income 49% — High pressure
After rent £2,210
Liverpool
View full breakdown →
Gross salary £52,000
Net monthly £3,393
Rent (1-bed) £800
Rent-to-income 24% — Comfortable
After rent £2,593

London vs Liverpool: what the £383/month gap means for a software engineer

On paper, London software engineer roles pay £20,000/year more than Liverpool. But take-home after tax and National Insurance tells a different story — London workers keep £4,360/month versus £3,393/month in Liverpool.

The bigger picture is after rent. Average London rent runs £2,150/month versus £800/month in Liverpool. Once housing costs are factored in, Liverpool workers have £2,593/month disposable income versus £2,210/month in London — that is £4,596/year in real spending power.

Liverpool's rent-to-income ratio of 24% compares favourably to London's 49%.

For software engineers prioritising financial freedom, Liverpool delivers significantly more disposable income despite lower gross pay.

Monthly cost comparison

All figures monthly · 2025/26

Category London Liverpool Delta
Rent (1-bed median) £2,150 £800 -63%
Transport £185 £70 -62%
Council tax £165 £115 -30%
Groceries £320 £260 -19%
Disposable income remaining £1,398 £2,015 +44%

Sources: LinkedIn 2025 · Rightmove Q4 2025 · HMRC 2025/26 · Numbeo 2025

Cost-of-living equivalence

Based on a cost-of-living index of 100 for London and 62 for Liverpool, a salary of £72,000 in London delivers equivalent purchasing power to £44,650 in Liverpool.

London £72,000 ≈
£44,650
in Liverpool

Income retention after all essentials

% of net monthly pay remaining after rent, transport, council tax and groceries

London 32%
Liverpool 59%

Everyday costs

Estimated typical prices · scaled from Numbeo 2025

Cappuccino
London £3.80
Liverpool £2.36
Transit (single trip)
London £4.40
Liverpool £1.67
Gym membership
London £55/mo
Liverpool £34/mo
Cinema ticket
London £16.00
Liverpool £9.92

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Frequently asked questions

Does a software engineer earn more in London or Liverpool? +
London pays a median £72,000 vs £52,000 in Liverpool — a gross difference of £20,000. However, after accounting for rent and living costs, Liverpool professionals have £383/month more disposable income, making it the stronger city in real terms.
What is the take-home pay for a software engineer in London vs Liverpool? +
In London: gross £72,000£4,360/month net take-home. In Liverpool: gross £52,000£3,393/month net take-home. After paying median 1-bed rent, London leaves £2,210/month vs Liverpool's £2,593/month.
What salary in Liverpool matches London purchasing power? +
Approximately £44,650 in Liverpool delivers equivalent purchasing power to £72,000 in London, based on a cost-of-living index of 100 (London) vs 62 (Liverpool).
Is London or Liverpool cheaper to live in? +
Liverpool is cheaper overall, with a cost-of-living index of 62 vs 100 for London (London = 100). Rent in London averages £2,150/month (1-bed) vs £800/month in Liverpool.
What is the rent-to-income ratio for a software engineer in London? +
A software engineer in London earning £72,000 takes home £4,360/month. With median 1-bed rent of £2,150/month, the rent-to-income ratio is 49% (high pressure). In Liverpool the equivalent ratio is 24%.

Explore further

Affordability and salary breakdowns for London and Liverpool

Afford London on £70,000? Afford Liverpool on £50,000? Salary equivalence: London → Liverpool Standard of living: Software Engineer in London Standard of living: Software Engineer in Liverpool

Data sources & methodology

ONS Annual Survey of Hours and Earnings 2025 · Rightmove Rental Trends Tracker Q1 2026 · Numbeo Cost of Living 2026

Analysis by the SalaryDex data team · May 2026 · Corrections: [email protected] · Full methodology · Data transparency pledge