London Nanny Costs in 2025: What Parents Should Expect

Mother discussing nanny hiring costs in London for 2025 with a childcare consultant

Hiring a nanny in London is one of the most personal — and significant — decisions a family can make. Whether you're seeking full-time care, part-time help, or a live-in nanny, understanding the current costs in 2025 can help you budget wisely and set realistic expectations.

This guide breaks down typical nanny costs in London, factors that influence pay, and what parents should plan for this year.

1. Average Nanny Rates in London (2025)

  • Live-out nanny: £16–£20 net/hour
    (That’s around £800–£1,000 per week for full-time care)

  • Live-in nanny: £500–£700 net/week
    (Accommodation and meals are included)

  • Part-time nanny: £17–£22 net/hour
    (Hourly rates are typically higher for part-time roles)

💡 Tip: “Net pay” is the take-home amount for the nanny. Parents must factor in employer’s tax, National Insurance, and pension contributions.

2. What Affects a Nanny’s Salary?

Several factors influence nanny rates in London:

  • Experience & Qualifications
    Nannies with formal childcare qualifications (e.g., CACHE Level 3) or over 5 years’ experience often command higher rates.

  • Duties Expected
    Roles that include cooking, housekeeping, school runs, or caring for multiple children may require higher pay.

  • Working Hours
    Early starts, late evenings, or weekend hours typically add a premium.

  • Location within London
    Central and West London families may face higher rates due to the local cost of living.

3. Additional Employer Costs

Hiring a nanny comes with legal and financial responsibilities:

  • Taxes & National Insurance
    As an employer, you’re required to register with HMRC and pay contributions on top of the nanny’s net salary.

  • Pension Contributions
    Required for eligible employees working over a certain threshold.

  • Holiday Pay
    At least 28 days paid holiday per year (including bank holidays).

  • Nanny Insurance
    Employers must have Employers’ Liability Insurance.

📌 Consider using a payroll service to manage this easily.

4. Sample Monthly Budget for a Full-Time Nanny

Cost Live-Out Nanny Net Pay (40 hrs/week) £3,400Tax & NI Contributions £600–£800 Pension Contributions £60 + Total Monthly Cost~ £4,000–£4,300

5. Ways to Offset Costs

  • Nanny share arrangements
    Two families share one nanny to split costs — a rising trend in London.

  • Tax-free childcare
    Eligible parents can claim up to £2,000/year per child via government support.

  • Using a nanny payroll service
    Helps avoid costly mistakes and saves time.

Conclusion

While hiring a nanny in London is a financial commitment, it’s also an investment in your child’s wellbeing and your family’s routine. By understanding 2025's costs and planning ahead, you can find the right childcare fit — without surprises.

Need help finding the perfect nanny?
Contact Elisa's London Nannies today for expert support and tailored matchmaking.

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