2026-02-24 · NextMigrate Team
Lagos vs. London Cost of Living: The Real Numbers After You Account for Salary
Every Nigerian professional considering a move to the UK has seen the surface-level comparison. London is expensive. Lagos is cheap. End of story.
Except it is not the end of the story. It is barely the beginning.
The standard cost-of-living comparisons you find on Numbeo or Expatistan are misleading for one critical reason: they compare nominal prices without accounting for what you actually have to spend in each city to achieve a comparable quality of life. They tell you that a meal in Lagos costs less than a meal in London. They do not tell you that in Lagos, you are also paying for a generator, diesel, a private water supply, private health insurance, private school fees, and in many cases, estate security — costs that simply do not exist in London because they are covered by public infrastructure and taxation.
This article does the comparison properly. Not "which city is cheaper?" but "where does more of your salary actually end up in your pocket, and what quality of life does it buy?"
The Salaries: Let Us Start With What You Actually Earn
We will compare two profiles:
Profile A: Mid-level professional (5-8 years experience)
- Lagos salary: NGN 8,000,000 - 15,000,000 per year (roughly GBP 3,800 - 7,100 at current exchange rates)
- London salary: GBP 45,000 - 65,000 per year
Profile B: Senior professional (10+ years, management level)
- Lagos salary: NGN 18,000,000 - 35,000,000 per year (roughly GBP 8,500 - 16,600)
- London salary: GBP 65,000 - 95,000 per year
The salary gap is enormous in absolute terms. But the cost-of-living comparison is where it gets interesting.
The Monthly Breakdown: A Mid-Level Professional
Let us take a mid-level professional in each city — someone earning NGN 12,000,000/year in Lagos (NGN 1,000,000/month) and GBP 55,000/year in London (approximately GBP 3,500/month after tax and National Insurance).
Housing
| Expense | Lagos (NGN/month) | Lagos (GBP equivalent) | London (GBP/month) |
|---|---|---|---|
| 2-bed flat in a decent area | 350,000 - 600,000 | 166 - 285 | 1,600 - 2,200 |
Lagos wins on paper. But here is what the Lagos number does not include:
- Estate/compound service charge: NGN 30,000 - 100,000/month in areas like Lekki, Ajah, or Magodo
- Generator diesel: NGN 80,000 - 200,000/month depending on usage (with NEPA/PHCN providing an average of 4-8 hours of electricity per day, you are running a generator for the rest)
- Water supply: NGN 15,000 - 30,000/month for borehole maintenance or water delivery
- Fumigation/pest control: NGN 10,000 - 20,000/quarter
When you add these hidden costs, the real Lagos housing cost becomes:
| Expense | Lagos (adjusted, GBP) | London (GBP) |
|---|---|---|
| Total housing cost | 330 - 580 | 1,600 - 2,200 |
London is still more expensive, but the gap has narrowed significantly. And the London number includes electricity, water, pest-free living, and 24-hour power as standard.
Transportation
| Expense | Lagos (NGN/month) | Lagos (GBP equivalent) | London (GBP/month) |
|---|---|---|---|
| Car loan/payment | 150,000 - 300,000 | 71 - 142 | 0 (most use public transport) |
| Fuel | 80,000 - 150,000 | 38 - 71 | 0 |
| Car insurance | 25,000 - 50,000 | 12 - 24 | 0 |
| Maintenance/repairs | 40,000 - 80,000 | 19 - 38 | 0 |
| Driver (if applicable) | 60,000 - 100,000 | 28 - 47 | 0 |
| Oyster card / Zone 1-3 travel | 0 | 0 | 160 - 200 |
Lagos total transport: GBP 168 - 322/month London total transport: GBP 160 - 200/month
Surprised? In Lagos, unless you live directly on the island where you work, you need a car. Public transport infrastructure is improving with BRT, but for a mid-level professional living in Lekki and working on Victoria Island, driving is essentially mandatory. When you factor in fuel prices (which have risen dramatically since the subsidy removal), car maintenance on Lagos roads, and insurance, the costs are comparable to or higher than a London Oyster card.
And you are not sitting in three hours of Lagos traffic with a London travel card.
Healthcare
This is where the comparison gets uncomfortable.
| Expense | Lagos (NGN/month) | Lagos (GBP equivalent) | London (GBP/month) |
|---|---|---|---|
| Private health insurance (HMO) | 50,000 - 150,000 | 24 - 71 | 0 (NHS is free at point of use) |
| Out-of-pocket for uncovered care | 20,000 - 100,000+ | 10 - 47+ | 0 |
| Dental (private) | Variable | Variable | 0 - 50 (NHS dental) |
In London, you pay National Insurance as part of your tax. In return, you get the NHS: free GP visits, free hospital care, free ambulances, free prescriptions (in Scotland and Wales), and heavily subsidised prescriptions in England (GBP 9.90 per item, or free if you have a prepayment certificate).
In Lagos, even with a good HMO plan, you will encounter situations where the plan does not cover what you need, the approved hospital does not have the equipment, or you need to pay out of pocket for specialist care. Many mid-level professionals in Lagos spend NGN 500,000 - 1,500,000 per year on healthcare beyond their HMO — especially if they have children.
Education
If you have children, this category alone can change the entire calculation.
| Expense | Lagos (NGN/year) | Lagos (GBP equivalent) | London (GBP/year) |
|---|---|---|---|
| Decent private school (per child) | 1,500,000 - 5,000,000 | 710 - 2,370 | 0 (state schools are free) |
| "Good" private school (per child) | 5,000,000 - 12,000,000 | 2,370 - 5,700 | 0 |
| Top-tier private school (per child) | 12,000,000 - 25,000,000+ | 5,700 - 11,850+ | 0 |
In Lagos, the public school system is, in many areas, not a viable option for parents who want a quality education. This is not a judgement — it is a reality that most Nigerian parents know intimately. As a result, school fees are a non-negotiable expense that can consume 20-40% of a family's income.
In London, state schools are free, and many are excellent. Ofsted-rated "Outstanding" schools exist in every borough. You do not need to pay for a decent education.
For a family with two children in mid-range Lagos private schools, you are spending NGN 6,000,000 - 10,000,000 per year (GBP 2,850 - 4,740). That money simply does not need to be spent in London.
Security
| Expense | Lagos (NGN/month) | Lagos (GBP equivalent) | London (GBP/month) |
|---|---|---|---|
| Gated estate premium | Included in rent | Included | 0 |
| Personal security/gateman | 30,000 - 60,000 | 14 - 28 | 0 |
| Car tracking device | 5,000 - 10,000 | 2 - 5 | 0 |
| Home security system | 10,000 - 20,000 | 5 - 10 | 0 (optional) |
London is not crime-free. But you do not budget for a gateman. You do not choose your neighbourhood based on whether it has armed security at the gate. This is a cost — both financial and psychological — that is unique to Lagos living.
The Full Picture: Monthly Cost Comparison
Here is the adjusted monthly comparison for our mid-level professional:
| Category | Lagos (GBP, adjusted) | London (GBP) |
|---|---|---|
| Housing (including power, water) | 450 | 1,800 |
| Transport | 245 | 180 |
| Healthcare | 65 | 0 |
| Food and groceries | 190 | 350 |
| Education (2 children, amortised monthly) | 395 | 0 |
| Security | 35 | 0 |
| Internet and phone | 25 | 45 |
| Entertainment and social | 80 | 150 |
| Total monthly expenses | 1,485 | 2,525 |
Lagos monthly take-home (NGN 1M after tax): approximately GBP 475 London monthly take-home (GBP 55K gross): approximately GBP 3,500
Lagos surplus: GBP 475 - 1,485 = negative GBP 1,010 (this is why many Lagos professionals are in debt or dependent on side income) London surplus: GBP 3,500 - 2,525 = positive GBP 975
Read those numbers again.
A mid-level professional in Lagos earning NGN 12 million per year — which is considered a good salary — is likely spending more than they earn when you account for the true cost of a decent quality of life. A comparable professional in London, after paying for one of the most expensive cities in the world, has nearly GBP 1,000 per month left over.
The "I Never Thought of It That Way" Moment
The common assumption is: "Lagos is cheap, London is expensive, so I need to earn much more in London to justify moving."
The reality is: Lagos is only cheap if you are willing to accept a quality of life that you would not accept in London. The moment you want reliable electricity, clean water, decent schools, functioning healthcare, and personal security — things that are included in the baseline cost of London life — Lagos becomes surprisingly expensive relative to what you earn.
This does not mean London is perfect. Housing costs are brutal. The weather is objectively miserable for most of the year. Racism exists. Homesickness is real. These are genuine costs that do not appear on any spreadsheet.
But if the question is purely financial — "Can I build more wealth, save more money, and provide a better material life for my family in London versus Lagos?" — the numbers, when you are honest about them, point in one direction.
For the Senior Professional: Does the Calculation Change?
At the senior level (NGN 25M+ in Lagos vs. GBP 80K+ in London), the Lagos numbers improve significantly. Senior professionals in Lagos can absorb the hidden costs more comfortably, and many have employer-provided benefits (company cars, driver, HMO for the family, school fee support) that reduce out-of-pocket expenses.
For senior professionals, the financial case for migration is less clear-cut. The decision often comes down to non-financial factors: quality of public infrastructure, children's long-term education, career ceiling, passport access, and personal safety.
But for the vast majority of Nigerian professionals — those earning NGN 6M - 18M, which covers most of the professional middle class — the financial case for migration is stronger than the surface-level numbers suggest.
What This Means For Your Decision
This comparison is not meant to tell you what to do. It is meant to give you the real numbers so that your decision is based on reality, not assumptions.
If you have been telling yourself "I cannot afford to move to London," run your own version of this calculation. Include every naira you spend on diesel, school fees, HMO top-ups, and compound security. You may find that you are already spending London money on a Lagos salary.
If you want to model the real financial impact of migration for your specific situation — salary, family size, destination city — NextMigrate can help you build a personalised comparison.
