Is Hampstead Expensive?

London, United Kingdom

+30% vs London avg

Living in Hampstead, London

Hampstead is one of the pricier neighborhoods in London, with a cost of living index of 113.8 — that is +30% compared to the London average. It ranks #5 out of 35 areas by cost. Estimated rent for a one-bedroom apartment here is around £2,447/month, compared to a range of £1,280 in Barking to £2,730 in Mayfair.

Monthly Budget Breakdown

For a typical resident of Hampstead, housing takes up roughly 55% of monthly expenses. Food and groceries account for about 15%, while transportation costs around 8%. To live comfortably here — meaning rent stays at or below 30% of gross income — you would need an annual salary of approximately £97,892 before tax.

Typical Salaries in Hampstead

Salaries in Hampstead reflect the local cost of living. Based on the neighborhood COLI of 113.8:

After tax and deductions of 30.2% in United Kingdom, take-home pay for someone earning £97,892 would be roughly £68,328/year. Use the salary converter to calculate an exact figure for your situation, including expat-specific tax adjustments.

Key Stats

113.8
COLI Index
1.30x
vs City Avg
£2,447
Est. 1BR Rent
#5
of 35 Areas
30.2%
Total Deductions

Tax & Deductions in Hampstead

Estimated annual deductions on a £64,270 salary in Hampstead, London (local employee).

Income Tax
20%
National Insurance (NI)
6.7%
Council Tax (Camden)
3.0%
Total Deductions: 30.2%
Est. Take-Home: £44,886/yr

Rates shown are for a local employee. Use the salary converter for expat calculations.

Salary Equivalents

What a $75,000 USD salary in Hampstead would need to be elsewhere:

City Currency Equivalent
New York USD $85,350
Dubai AED AED 427,073

Other Neighborhoods in London

Neighborhood COLI Multiplier vs Avg
Mayfair 126.9 1.45x +45%
Chelsea 120.7 1.38x +38%
Kensington 118.1 1.35x +35%
Marylebone 115.5 1.32x +32%
Notting Hill 112.0 1.28x +28%

View all 35 neighborhoods in London →

Convert Your Salary

See exactly what you need to earn in Hampstead, London to maintain your lifestyle.

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London City Comparisons

London vs New York London vs Dubai London vs Singapore London vs Paris

Similar Neighborhoods Worldwide

Neighborhoods with a similar cost of living to Hampstead:

Orchard Road, Singapore Nob Hill, San Francisco Bel Air, Los Angeles Financial District, San Francisco Russian Hill, San Francisco Rothschild Blvd, Tel Aviv

Frequently Asked Questions

Is Hampstead expensive in London?

Yes, Hampstead is one of the more expensive neighborhoods in London. It costs about +30% more than the city average, ranking #5 out of 35 neighborhoods.

How does Hampstead compare to the London average?

The cost of living in Hampstead is significantly above the London average. With a multiplier of 1.30x, everyday expenses including rent, food, and transportation are +30% compared to the city baseline.

Data Sources: Cost of living indices based on crowd-sourced price data and official statistics. Tax calculations follow 2026 rates. Sources include UK Office for National Statistics · HM Revenue & Customs · OECD Better Life Index. Figures are estimates and may vary based on individual circumstances.