City Comparison

London vs Davao

Cost of Living Comparison 2026

Davao is ~81% cheaper overall

Numbeo 2026 country rankings (cost indices) and OECD 2025 PPP rates · Reviewed April 2026

London

United Kingdom

COL+Rent

72.9

Rent Index

56.2

Groceries

73.9

Restaurant

93.3

Davao

Philippines

COL+Rent

14

Rent Index

4.5

Groceries

27.6

Restaurant

14.2

Monthly Cost Comparison

CategoryLondonDavaoDiff
Rent (1BR City)$2,503$171+$2,332
Rent (1BR Outside)$1,960$110+$1,850
Groceries$422$160+$262
Restaurant Meal$28$4+$24
Transit Pass$113$8+$105
Utilities$258$60+$198

Monthly Budget Comparison

LifestyleLondonDavao
Minimal$2,738/mo$306/mo
Typical$3,716/mo$459/mo
Comfortable$4,596/mo$577/mo

Purchasing Power Equivalence

Budget in London≈ in DavaoDifference
$1,500/mo$288/mo-$1,212
$2,000/mo$384/mo-$1,616
$3,000/mo$576/mo-$2,424

Detailed Budget Analysis

See exactly how specific monthly budgets break down in each city:

Analysis: London vs Davao for Expats & Remote Workers

Our data shows Davao is approximately 81% more affordable than London when combining rent and daily living costs. London's COL+Rent Index of 72.9 vs Davao's 14 (both measured against New York City = 100) reflects a substantial gap that significantly impacts long-term savings and lifestyle quality.

Housing is the biggest differentiator: a city-center one-bedroom in London costs $2,503/month versus $171/month in Davaogiving Davao a $2,332/month advantage on housing alone. Over a full year, this rent difference alone amounts to $27,984 in annual savings.

Day-to-day costs tell a more nuanced story. Groceries in London ($422/mo) vs Davao ($160/mo) reflect Davao's lower food prices, while restaurant meals at $28 vs $4 show Davao offers cheaper dining. For digital nomads and remote workers who eat out frequently, this difference compounds quickly.

Bottom line: If you earn in a strong currency (USD, EUR, GBP) and work remotely, Davao offers meaningfully better value — your typical monthly budget of $459 buys a comfortable lifestyle with room for savings. Use the purchasing power table above to see exactly how far your specific budget stretches in each city.

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Frequently Asked Questions

Is London or Davao cheaper to live in?
Davao is approximately 81% cheaper overall. London's COL+Rent Index is 72.9 vs Davao's 14 (NYC = 100).
How much is rent in London vs Davao?
A 1BR in London city center costs ~$2,503/mo vs $171/mo in Davao. Outside the center: $1,960 vs $110.
What is $2,000/month in London worth in Davao?
Using cost-of-living adjustment, $2,000/month in London has the purchasing power of approximately $384/month in Davao.
Are groceries cheaper in London or Davao?
Monthly groceries cost approximately $422 in London vs $160 in Davao. Groceries Index: 73.9 vs 27.6 (NYC = 100).