What is the average salary in the UK, and how does yours compare? Whether you’re negotiating a raise, considering a career change, or just curious where you fall, understanding UK salary data gives you a clearer picture of the labour market. The figures below use the latest ONS Annual Survey of Hours and Earnings (ASHE), which is the most comprehensive salary dataset in the UK — covering millions of employee records from HMRC’s PAYE system.

Average and Median UK Salary (2026)

Metric Amount
Average (mean) salary £37,430
Median salary £27,200
Average hourly pay £18.90
Median hourly pay £14.60

The gap between average and median exists because high earners pull the mean upward. The median (£27,200) better represents what a typical worker earns — half of all UK workers earn more, and half earn less. The average is distorted by a relatively small number of very high earners in finance, tech, and senior management. Whenever you see “average salary” quoted in the media, check whether they mean the mean or the median — it makes a significant difference.

For a precise comparison, use our UK income percentile calculator.

Average Salary by Age

Salaries in the UK follow a predictable arc: rapid growth in your 20s and early 30s as you gain experience and move into higher-paying roles, a plateau through your 40s when you’re at peak earning power, and a gradual decline from your 50s onwards as some workers move to part-time, take less demanding roles, or enter semi-retirement.

Age Group Median Annual Salary Median Weekly Pay
18–21 £24,440 £470
22–29 £32,292 £621
30–39 £39,988 £769
40–49 £42,796 £823
50–59 £40,456 £778
60+ £36,036 £693

Peak earnings occur between ages 40-49. Income growth is fastest in your 20s and early 30s, then plateaus through the 40s before declining slightly. The drop after 50 partly reflects a genuine reduction in hours and seniority, but it’s also influenced by a generational effect — older workers entered the labour market at a time when degree-level qualifications were less common and certain high-paying industries (particularly tech) didn’t exist at their current scale.

Income Percentiles

Percentile data gives you a much more precise view of where you sit. Rather than comparing against a single average, it tells you what percentage of workers earn less than you.

Percentile Annual Income
10th £14,500
25th £20,800
50th (Median) £27,200
75th £40,500
90th £59,200
95th £78,600
99th £199,000

If you earn more than £59,200, you’re in the top 10% of UK earners. See our income percentile calculator for an exact ranking.

Average Salary by Region

Regional pay differences in the UK are among the most pronounced in any developed country. London dominates, paying 35% more than the national median — but the cost of living (especially housing) often negates much of the premium. Many workers outside London earn less in gross terms but enjoy a higher standard of living thanks to dramatically lower house prices and rents.

Region Median Salary vs. National Median
London £36,600 +35%
South East £29,800 +10%
East of England £28,200 +4%
Scotland £27,900 +3%
South West £26,700 -2%
West Midlands £26,400 -3%
East Midlands £26,000 -4%
North West £26,200 -4%
Yorkshire & Humber £25,700 -6%
Wales £25,200 -7%
Northern Ireland £24,800 -9%
North East £24,500 -10%

London salaries are 35% higher than the national median, but the higher cost of living — especially housing — erodes much of this premium. A £36,600 salary in London often provides a lower quality of life than £26,000 in the North East once rent and commuting costs are factored in. The South East benefits from London spillover without the same extremes of housing cost, making it one of the better regions for real purchasing power.

Average Salary by Industry

Industry choice has a larger impact on your lifetime earnings than almost any other factor — including region. The gap between the highest-paying sector (finance at £44,100) and the lowest (hospitality at £19,800) is over £24,000 per year, and that compounds dramatically over a career.

Industry Median Salary
Finance & Insurance £44,100
Information & Communication (Tech) £43,800
Mining & Quarrying (Energy) £42,500
Professional & Scientific £37,200
Public Administration £32,800
Education £31,400
Construction £30,900
Manufacturing £30,600
Health & Social Work £28,500
Transport & Storage £27,800
Wholesale & Retail £22,400
Accommodation & Food £19,800
Arts & Recreation £21,600

Finance, tech, and energy are the highest-paying sectors, while hospitality and retail are the lowest. It’s worth noting that “average” within each industry still varies enormously — a junior hotel receptionist and a hotel general manager both count as “Accommodation & Food,” and their salaries are worlds apart. These figures represent the median across all roles and seniority levels within each sector.

Gender Pay Gap

The gender pay gap remains one of the most debated aspects of UK salary data. The full-time gap of 14.7% means that for every £1 a man earns in full-time work, a woman earns about 85p. However, the picture is more nuanced than the headline figure suggests.

Metric Men Women Gap
Median full-time salary £29,900 £25,500 14.7%
Median all employees £27,800 £21,300 23.4%
Average hourly (full-time) £19.80 £17.10 13.6%

The full-time pay gap of 14.7% narrows for younger workers (nearly zero for under-30s) and widens significantly for workers over 40, largely driven by career breaks, part-time work transitions, and differing industry representation. The all-employees gap of 23.4% is larger because women are more likely to work part-time, which typically pays lower hourly rates than full-time work. Companies with 250+ employees are now required to publish their gender pay gap data annually, which has increased transparency but hasn’t yet closed the gap meaningfully.

Salary After Tax

Your gross salary only tells half the story. After income tax and National Insurance contributions, your take-home pay can be 15–30% less depending on your earnings. The table below shows what you actually receive at various salary levels — these are the numbers that matter for budgeting, mortgage affordability, and day-to-day living.

Gross Salary Income Tax Employee NIC Take-Home Effective Rate
£20,000 £1,486 £594 £17,920 10.4%
£25,000 £2,486 £994 £21,520 13.9%
£30,000 £3,486 £1,394 £25,120 16.3%
£35,000 £4,486 £1,794 £28,720 17.9%
£40,000 £5,486 £2,194 £32,320 19.2%
£50,000 £7,486 £2,994 £39,520 21.0%
£60,000 £11,432 £3,194 £45,374 24.4%
£75,000 £17,432 £3,494 £54,074 27.9%

For detailed calculations, see our guide to UK income tax bands.

How UK Salaries Compare Internationally

Comparing salaries across countries is tricky because gross pay doesn’t account for healthcare costs, tax systems, or social safety nets. A £35,400 salary in the US sounds higher than the UK median, but after paying for private health insurance ($5,000–$15,000/year for a family plan), the gap narrows or disappears entirely.

Country Median Salary (£ equivalent) Healthcare Notes
UK £27,200 NHS (free) Lower housing costs outside London
USA £35,400 ($45,000) Private ($5K-$15K+/year) Higher gross, but healthcare costs
Canada £28,900 (C$52,000) Provincial (free) Similar to UK
Australia £37,200 (A$65,000) Medicare (free) Higher gross, higher living costs
Germany £31,200 (€36,000) Statutory (payroll deducted) Strong worker protections

UK salaries are lower than the US and Australia in gross terms, but the NHS, pension auto-enrolment, and worker protections provide significant non-salary value.

Average Salary Growth

UK average earnings growth has been volatile in recent years, driven first by the pandemic, then by the highest inflation in 40 years. After a period where real wages (after inflation) were falling, pay growth has now outpaced inflation since mid-2023 — meaning workers are finally seeing genuine increases in purchasing power.

UK average earnings growth over recent years:

Year Average Weekly Earnings (Regular Pay) Annual Growth
2020 £536 +1.0%
2021 £553 +3.2%
2022 £575 +4.0%
2023 £610 +6.1%
2024 £638 +4.6%
2025 £662 +3.8%

Real wage growth (after inflation) has been positive since mid-2023, helping workers recover purchasing power lost during the 2022 inflation spike.

Key Takeaways

  1. Median UK salary is £27,200 — more representative than the £37,430 average
  2. London pays 35% more than the national median, but housing costs consume much of the premium
  3. Peak earnings are in the 40-49 age bracket at £42,796
  4. Top 10% earn £59,200+ and top 1% earn £199,000+
  5. Finance and tech are the highest-paying industries; hospitality and retail the lowest
  6. Take-home pay on a £30,000 salary is about £25,120 after tax and NIC

Sources

WealthVieu
Written by WealthVieu

WealthVieu researches and writes data-driven personal finance guides using primary sources including the IRS, Bureau of Labor Statistics, Federal Reserve, and Census Bureau.

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