Cost of Living in Spain – How do Living Costs in Spain Compare to the UK in 2025?

The year-round sunshine might be the first reason you think of when considering a move to Spain. However, the low cost of living in Spain is often the most-cited reason tempting British expats to relocate. But how much is the cost of living in Spain vs the UK? How is this broken down into costs for food and energy prices in Spain? In this article, we have combined all the information so you can understand how much you could be saving as you soak up the Mediterranean sun!

Introduction to Living Costs in Spain

The cost of living represents the average amount of money needed to cover essential expenses. This includes food and drink, housing, bills and healthcare. In 2025, the UK continues to grapple with a cost of living crisis. While the cost of living crisis is felt across the globe, inflation rates in Spain are consistently well below UK inflation levels and the European average.

British expats living in Spain will tell you the cost of living in Spain vs UK is much more affordable. To help you understand exactly how much a move to Spain could save you, we have used numbeo.com. This website uses crowdsourced data from tens of thousands of actual people living in each country to give the most realistic information on the day-to-day prices you would be paying. 

Overall, total living costs in Spain are an incredible 25.3% cheaper than in the UK when including rent and other living expenses. This represents the average for the whole country, and depending on exactly where you are relocating from and to, this could be even higher. To see exactly where these savings come from, we have broken the cost of living in Spain and the UK into food and drink, energy and utilities, and property costs.

Spain Living Costs – Food and Drink

From a few tapas and drinks in your neighbourhood restaurant to a bottle of Spanish wine from the supermarket, we have all experienced how affordable eating and drinking in Spain can be, contributing to the overall cost of living in Spain. For many, it is the abundance of quality, inexpensive food that makes a move to Spain so appealing. 

According to Numbeo, the average cost of eating out in Spain is around 21% cheaper than the UK. While this sounds great, it does not tell the real story of how great dining out in Spain can be. Lunchtime set menus of the day (menú del día) are highly popular. Diners can enjoy 2-3 courses for as low as €11 – sometimes even with a beer, wine, or coffee included! What’s more, a small draught beer is usually €2.50 or less and is often served with a small plate or tapas, with every drink! Now these are savings we can get behind.

A significant contribution to the lower cost of living in Spain is the weekly shop. We have all been hit by the rise in supermarket costs in the UK in recent years, with items seemingly going up by a few pence every week. In Spain, most of the standard items in your weekly shop would cost you much less than in the UK. The table below compares the average prices for a variety of items, giving a good idea of the savings you could make. 

I’ll admit it makes for quite an odd shopping list, but these representative items would make a grocery shop 20.9% cheaper in Spain (the lettuce one threw me, as Spain is the largest exporter of lettuces in the world!). So in terms of food and drink, both dining out and eating at home, the cost of living in Spain is much lower than the UK.

Energy Prices in Spain

The UK has seen energy prices skyrocket in recent years with the government stepping in during the peak of the crisis to support households in covering the costs.

Numbeo’s data show that in 2025, combined costs for electricity, heating, cooling, water and waste disposal are 54% lower in Spain than in the UK. For a 915 sq ft apartment, this translates to an average monthly bill of just £109.30 in Spain versus £237.73 in the UK. The rapidly changing energy landscape may reduce the accuracy of this figure, but overall the cost of energy in Spain is significantly lower than the UK, making a large contribution to the lower cost of living in Spain. What is more, the warm climate may mean you require less energy for heating a Spanish property. For more information on utilities in Spain, check out our handy article on the topic!

Wi-Fi in Spain is also on average 20.6% cheaper. Not only is it cheaper, Spain also boasts an impressive technological infrastructure, allowing Wi-Fi speeds that are amongst the highest in Europe (far better than UK levels), and excellent 5G coverage!

Fuel Costs in Spain

At the time of writing, The RAC states the average price of petrol is around £1.22 per litre in Spain, compared to £1.33 in the UK, making fuel costs in Spain around 8.3% cheaper. This is mainly due to a lower fuel duty in Spain, which leads to savings each time you fill up. The Spanish government often helps out further with Spain living costs, and recently offered an extra 20 cents per litre subsidy to help make driving even more affordable.

Property Prices

The price of rent or mortgage on a property is often the largest contribution to our total cost of living, and this is where things really swing in favour of Spain. 

On average, rent in Spain is around 29% lower than the UK, saving you hundreds of pounds each month. If we look at popular destinations for British expats, these savings get even better. For example, Alicante, which benefits from a Mediterranean climate and miles of coastline along the Southern Costa Blanca, has rental costs an incredible 73% lower than London! 

Buying property is better still. Overall, Spanish property is on average around 40% cheaper than the UK per square metre. In fact, the price per square metre to buy an apartment outside the city centre is currently £1,936.66 in Spain, compared to £3,736.60 in the UK — a substantial saving of 48.2%.

Lower monthly rental or mortgage costs make the biggest contribution to the overall lower cost of living in Spain. If you want to find out more on the best places to buy property in Spain, then take a look at this article containing all you need to know. At Movehappy we have properties starting from around €120,000, with ideal homes for every budget.

The Lifestyle

Although the cost of living summarises the cost of day-to-day expenses, it doesn’t tell you anything about the quality of life you are living! While this figure covers the amount of money needed to survive in the UK, you could be spending far less and thriving in Spain. Whether you’re relocating for work, perhaps remotely with the new Spanish Digital Nomad Visa, or moving to retire, the Spanish lifestyle and climate allows for an idyllic way of life. Al-fresco dining, seaside walks, cafe culture, mouth watering local cuisine and much, much more will all become a part of your life in Spain – you’ll no longer feel like you’re just surviving!

Salaries and Financing

When comparing the cost of living in Spain to the UK, it’s important to also look at income and financing. While many day-to-day expenses are cheaper in Spain, average salaries are also lower. According to Numbeo’s 2025 data, the average monthly net salary (after tax) is £1,443.97 in Spain, compared to £2,382.94 in the UK — a difference of 39.4%. However, this is largely offset by the much lower living costs across Spain.

For those looking to buy a home in Spain, financing can also be more affordable. The average 20-year fixed mortgage interest rate in Spain is currently 3.51%, compared to 5.76% in the UK — a 39.0% reduction. This significant difference in interest rates helps make homeownership in Spain more accessible and manageable, further contributing to the overall lower cost of living in Spain.

Summary of Cost of Living in Spain vs UK

Below is a table that summarises the costs of living in Spain vs UK discussed in this article. If you want to know more about these costs from actual locals living in Spain, get in touch with us at Movehappy today and we’ll be more than happy to provide additional information!

Conclusion

In a time when we are all feeling the squeeze from rising costs, the move to Spain has never been more tempting. Overall, the cost of living in Spain vs UK is lower in almost every aspect. Each food shop, petrol fill-up and utility bill will on average cost less than in the UK. However, it’s the cost of renting or buying property that makes the biggest impact on Spain’s lower living costs — with rent for a one-bedroom flat outside the city centre being 28% cheaper than in the UK, and the cost to buy per square metre an impressive 48.2% lower. Property on the idyllic Costa Blanca South is a fraction of cost of UK prices, and the house of your dreams could be well within budget. With over 300 days of sunshine per year and 65 km of beach-lined coast, you could be saving whilst basking in the Mediterranean climate. The low living costs in Spain allow more money for the things that really matter, allowing you to live life to the fullest.