Aside from personal expenditure, there are a number of additional costs which need to be taken into account before you can decide on how much you have to spend on renting/buying your new home. To give you an idea of what you can expect these costs to be, here are some average figures.

Utilities:

It is a legal requirement if you rent or buy a property in the UK, to be provided with an Energy Performance Certificate (EPC).  An EPC contains information about a property’s energy use and typical energy costs as well as recommendations about how to reduce energy use and save money.  An EPC gives a property an energy efficiency rating from A (most efficient) to G (least efficient) and is valid for 10 years.  As a guide, the following monthly costs are based on average properties – NB: fuel bills can vary considerably based on the energy efficiency of the property and individual usage (2017).

  1-2 bed flat 3-4 bed flat 4-5 bed house
Gas and Electricity £65 £90 £125
Water £35 £40 £45

 

Council Tax:

This covers the cost for local services such as rubbish collection, roads and street lighting, maintenance of parks and playgrounds, public leisure centres and contributes towards local police, fire and rescue services. It’s an annual charge levied on every property and the amount charged is dependent on the size and value of your property, and also which borough you live in.  You have the option to pay one single lump sum or ten payments throughout the year.  To give you some idea of what your annual Council Tax bills might be (2017):

The cheapest borough (Westminster) charges vary between between £446 and £1338
The most expensive borough (Richmond upon Thames) between £1055 and £3165

TV License:

If you use a television, you must have a TV License. You are responsible for paying for and obtaining your TV License, which is currently £145.50 for one year. Failure to produce a TV licence when requested by the licensing authority could incur a fine of up to £1,000.

Parking and Travel:

If you live in an urban area, and want to park a car on the road near your property, you may need to purchase a ‘resident’s parking permit’.  This doesn’t mean you get a guaranteed parking  space, but it does enable you to park in ‘resident parking bays’ within a certain distance of your home.  The cost of these permits varies depending on the area but expect to pay around £150 per year.  If you don’t drive, you will need to take the cost of public transport into account.  You can find out how much a season ticket will cost and more information about journey times, etc:

http://tfl.gov.uk

http://www.thetrainline.com

There are other costs involved in running a home – broadband, telephone, satellite TV for example, but these are all dependant on the type service you want, and it’s impossible to include them all here.  This is designed to provide a rough guide so that you have some idea – it is by no means a full and comprehensive list of everything.