Tokyo vs London
Cost of Living Comparison 2026
Tokyo is ~43% cheaper overall
Numbeo 2026 country rankings (cost indices) and OECD 2025 PPP rates · Reviewed April 2026
Tokyo
Japan
COL+Rent
41.5
Rent Index
22.3
Groceries
61.4
Restaurant
47.4
London
United Kingdom
COL+Rent
72.9
Rent Index
56.2
Groceries
73.9
Restaurant
93.3
Monthly Cost Comparison
| Category | Tokyo | London | Diff |
|---|---|---|---|
| Rent (1BR City) | $988 | $2,503 | $1,515 |
| Rent (1BR Outside) | $638 | $1,960 | $1,322 |
| Groceries | $354 | $422 | $68 |
| Restaurant Meal | $10 | $28 | $18 |
| Transit Pass | $71 | $113 | $42 |
| Utilities | $202 | $258 | $56 |
Monthly Budget Comparison
| Lifestyle | Tokyo | London |
|---|---|---|
| Minimal | $1,199/mo | $2,738/mo |
| Typical | $1,765/mo | $3,716/mo |
| Comfortable | $2,134/mo | $4,596/mo |
Purchasing Power Equivalence
| Budget in Tokyo | ≈ in London | Difference |
|---|---|---|
| $1,500/mo | $2,635/mo | +$1,135 |
| $2,000/mo | $3,513/mo | +$1,513 |
| $3,000/mo | $5,270/mo | +$2,270 |
Detailed Budget Analysis
See exactly how specific monthly budgets break down in each city:
Analysis: Tokyo vs London for Expats & Remote Workers
Our data shows Tokyo is approximately 43% more affordable than London when combining rent and daily living costs. Tokyo's COL+Rent Index of 41.5 vs London's 72.9 (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 Tokyo costs $988/month versus $2,503/month in London — giving Tokyo a $1,515/month advantage on housing alone. Over a full year, this rent difference alone amounts to $18,180 in annual savings.
Day-to-day costs tell a more nuanced story. Groceries in Tokyo ($354/mo) vs London ($422/mo) reflect Tokyo's lower food prices, while restaurant meals at $10 vs $28 show Tokyo is the better value for dining out. 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, Tokyo offers meaningfully better value — your typical monthly budget of $1,765 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.