MelbournevsLondon
Overall
💰+11.8%
Melbourne is 11.8%more expensive
Rent
🏠+30.8%
Housing is 30.8% higher
Dining
🍽️+11.8%
Restaurants 11.8% pricier
Groceries
🛒0.0%
Food shopping 0.0% same
Comparing the cost of living between Melbourne, Australia and London, United Kingdom reveals significant insights for anyone considering relocation or travel in 2025. Our comprehensive analysis shows that Melbourne is more expensive than London by approximately 11.8%. This comparison covers essential living expenses including housing, food, transportation, and utilities, providing you with a complete picture of what to expect financially in each city.
Key Cost Differences
Housing costs in Melbourne are lower than in London by 24%. A one-bedroom apartment in Melbourne's city center costs around A$2,200, while the same in London is approximately £2,500.
Dining out in Melbourne offers significant savings compared to London. An inexpensive restaurant meal costs A$20 in Melbourne versus £18 in London.
Public transportation in Melbourne is more affordable, with monthly passes at A$170 compared to £180 in London.
Monthly Budget Breakdown
When breaking down monthly expenses, a single person in Melbourne can expect to spend approximately A$786 per month (excluding rent), while in London, the same lifestyle would cost around £716. For families, these figures increase significantly, with a family of four requiring about A$2,750 monthly in Melbourne versus £2,505 in London. These estimates include groceries, dining out, transportation, utilities, and entertainment, providing a realistic picture of day-to-day living costs in each city.
Detailed Cost Comparison
🏠 Housing Costs (Monthly Rent)
🍽️ Food & Dining
🛒 Groceries
🚌 Transportation
💡 Utilities & Internet
Tips for Moving Between Cities
For those considering a move from Melbourne to London, the cost savings can be substantial, particularly in housing and daily expenses. However, it's important to factor in salary differences and job opportunities. Conversely, moving from London to Melbourne requires careful financial planning. Consider negotiating salary adjustments that reflect the higher cost of living, and research neighborhoods outside the city center for more affordable housing options while maintaining reasonable commute times.
Quality of Life Indices
Melbourne
London
Frequently Asked Questions
Is Melbourne more expensive than London?
Yes, Melbourne is approximately 11.8% more expensive than London overall. The biggest differences are in housing and restaurant prices.
How much salary do I need in Melbourne compared to London?
To maintain the same standard of living, you would need approximately 1.1x of your London salary when living in Melbourne. For example, if you earn $50,000 in London, you'd need about $55,882 in Melbourne for a comparable lifestyle.
What are the biggest cost differences between Melbourne and London?
The most significant cost difference is in housing. Rent prices differ by approximately 24%, making it a major factor in your budget planning. Transportation and utilities show smaller variations between the two cities.
Which city is better for expats and digital nomads?
Melbourne offers better purchasing power, making it more attractive for those earning in strong currencies. However, London provides lower living costs, which benefits budget-conscious travelers. Consider Melbourne if you prioritize earning potential, or London for affordability.
What's a reasonable monthly budget for Melbourne vs London?
In Melbourne, a single person needs approximately A$2,486 per month (including rent), while a family of four requires about A$5,550. In London, these figures are £2,516 for singles and £6,005 for families. These estimates include housing, food, transportation, and basic entertainment.
The cost of living comparison between Melbourne and London in 2025 shows notable differences across various expense categories. Whether you're planning a relocation for work, considering retirement options, or simply curious about living costs, understanding these differences is crucial for making informed financial decisions.
Need to calculate salary equivalence?
Find out how much you need to earn in London to maintain your lifestyle from Melbourne
Calculate Salary Equivalence