First 90 Days in the UK: Cost Breakdown

Why the first 90 days hit migrant budgets hardest

A UK-born resident moving between cities pays a deposit, sets up utilities, and gets on with life. A new arrival on a visa has already spent thousands before the plane lands, and then faces a second wave of fees driven by having no UK address history, no UK credit file, and no UK bank account on day one. This article walks through the migrant-specific costs in rough chronological order so the cash flow shock is visible before it happens.

Costs paid before arrival

Most work and family visa routes require the Immigration Health Surcharge to be paid in full at application. The standard rate is GBP 1,035 per adult per year, with a reduced rate of GBP 776 for students, Youth Mobility, and applicants under 18. A five-year visa for a couple therefore costs more than GBP 10,000 in surcharge alone, before any visa fee. The Skilled Worker application fee itself ranges from GBP 769 for a short visa applied for overseas to GBP 1,519 for a longer in-country application, with separate fees for dependants.

These are sunk costs by the time the first 90 days begin, but they crowd out the cash buffer that would otherwise pay for setup costs in the UK. Many arrivals land with savings already drained by visa processing.

Costs in the first 30 days

Short-term accommodation tends to dominate week one. Serviced apartments and aparthotels in London typically cost between GBP 100 and GBP 200 per night, and similar tiers exist in Manchester, Edinburgh, and Birmingham at lower rates. Even four weeks of mid-range temporary accommodation can reach GBP 4,000 in the capital.

Currency conversion is the second hidden cost. Bringing savings across through a high street bank can lose 3 to 5 percent against the mid-market rate once the spread is included. Specialist payment institutions regulated under the Payment Services Regulations 2017 offer narrower spreads, but timing the transfer still matters because sterling can move several percent in a month.

Opening a UK current account is harder without a UK address, so many arrivals start on a digital account that accepts overseas address verification, then switch to a high street account once a tenancy agreement or council tax bill arrives. Each switch can take days, and direct debits set up on the first account need migrating.

Costs in days 30 to 60

Securing a long-term tenancy is where the no-credit-score premium bites. A landlord checking a prospective tenant's credit file will find nothing, so many letting agents in England ask for 6 months' rent upfront, or a UK-based guarantor earning roughly 30 to 36 times the monthly rent. The deposit itself is capped at 5 weeks' rent for annual rents below GBP 50,000 under the Tenant Fees Act 2019, but the upfront rent ask is not regulated.

On a GBP 1,800 monthly tenancy that means up to GBP 12,870 leaving the account in one transaction: 5 weeks' deposit plus 6 months' rent. Holding deposits are capped at one week's rent and must be returned or applied to rent within 15 days unless specific exceptions apply.

Utility and mobile setup is the next layer. Energy suppliers can require a security deposit from customers without a UK credit history, and pay-monthly mobile contracts often fail credit checks in the first months, pushing arrivals onto SIM-only or pay-as-you-go plans that cost more per gigabyte. A pay-monthly contract at GBP 20 may only be available to someone with six months of UK address history.

Costs in days 60 to 90

By the end of month two, council tax bills, TV Licence, and water bills start arriving. Council tax in England and Wales is set by band and local authority; a Band D bill in 2024 to 2025 averaged just under GBP 2,200 per year, billed over 10 or 12 instalments. The TV Licence is GBP 169.50 per year for colour. Water is regional and unmetered in many older properties.

Healthcare costs are largely covered by the surcharge already paid, but prescription charges in England (GBP 9.90 per item in 2024 to 2025) and NHS dental charges (band 1 GBP 26.80, band 2 GBP 73.50, band 3 GBP 319.10 in 2024 to 2025) still apply unless an exemption is held. Wales, Scotland, and Northern Ireland have different prescription rules.

Where migrant costs and universal costs diverge

A UK-born resident never pays the Immigration Health Surcharge, never pays a visa application fee, rarely needs 6 months' rent upfront, and has a credit file that unlocks standard tariffs on phones and utilities. The same person also avoids the currency conversion drag because their savings are already in sterling. Stripping these items out of a 90-day budget removes between GBP 5,000 and GBP 20,000 depending on household size and visa route.

Status-specific paperwork and its costs

The eVisa transition replaced the physical Biometric Residence Permit for most routes, but the underlying status checks still drive cost. A migrant tenant providing a Right to Rent share code to a prospective landlord under the Immigration Act 2014 effectively trades a permanent UK credit footprint for a time-limited immigration status, and many letting agents respond by demanding rent upfront equal to the share code's validity window. A Skilled Worker on a 3 year visa may find the agent asking for the full 3 years' tenancy commitment underwritten in advance, or for a UK guarantor. The Certificate of Sponsorship from the employer carries its own fee, and where the Immigration Skills Charge is reclaimed from the worker (which is unlawful for the employer to do but happens informally) the worker bears a further GBP 1,000 per year. Family visa applicants pay separate fees per dependant, with each adult dependant attracting a full Immigration Health Surcharge of GBP 1,035 per year and child dependants attracting the reduced rate of GBP 776 per year.

Costs that vanish once UK status history exists

Several first-90-day costs reduce or disappear once the migrant has built a UK address history of 6 to 12 months. Mobile networks open up pay-monthly contracts at standard rates rather than the no-credit-check premium plans. Energy suppliers stop requiring security deposits from customers with a UK address on the credit file. Letting agents stop demanding 6 months' upfront and revert to 5 weeks' deposit and one month in advance. Currency conversion fees drop to near zero because earnings now arrive in sterling. Insurance quotes for contents, motor, and travel come down once a UK postcode and credit reference file exist. The migrant-specific premium is therefore best understood as a one-off entry tax that decays over the first year, rather than an indefinite surcharge.

Worked example: a Skilled Worker couple, year one

A couple arriving on a 3 year Skilled Worker visa with one dependant pays roughly GBP 10,360 in Immigration Health Surcharge upfront (3 years times GBP 1,035 times 2 adults, plus 3 times GBP 776 for a child dependant), plus visa fees in the GBP 1,500 to GBP 4,500 range depending on length and in-country versus out-of-country application. Add GBP 4,000 of temporary accommodation in month one, GBP 12,000 of upfront rent and deposit in month two on a GBP 1,800 tenancy, GBP 600 of currency conversion losses on a GBP 30,000 transfer at 2 percent spread, and GBP 300 of furniture and basics. Total cash out of pocket in the first 90 days reaches around GBP 28,500 before any wages have cleared. The Certificate of Sponsorship visibility on gov.uk allows applicants to forecast these numbers before booking flights.

Disclaimer

This article is general information about UK rules and processes at the time of writing. It is not legal, immigration, tax, or financial advice. Rules and figures change. Verify the current position with the relevant authority (gov.uk, HMRC, FCA, or a regulated adviser) before acting on anything here.

Frequently asked questions

Is the Immigration Health Surcharge refundable if the visa is refused?

Yes. Gov.uk states that the surcharge is refunded automatically if a visa application is refused, withdrawn, or if the applicant does not travel to the UK within the visa start window.

Can a landlord legally ask for 6 months' rent upfront from a new arrival?

Yes. The Tenant Fees Act 2019 caps deposits but does not cap upfront rent. Landlords commonly request 6 months' rent upfront from tenants without a UK credit file or UK-based guarantor.

Do new arrivals still need to collect a BRP?

For most routes the BRP has been replaced by an eVisa, an online record of immigration status. Some legacy cases still involve a physical document, and gov.uk guidance on eVisas should be checked for the current position.

Is a UK bank account required before arrival?

No, but it makes the first weeks easier. Some banks offer accounts that can be opened with an overseas address, and digital account providers regulated by the FCA accept a wider range of verification documents.

What is the cheapest way to bring savings into sterling?

Costs depend on amount, currency pair, and timing. Authorised payment institutions regulated under the Payment Services Regulations typically offer tighter spreads than high street banks. The FCA register lists authorised firms.

Are the Immigration Health Surcharge rates the same for every visa?

No. The standard adult rate is GBP 1,035 per year and the reduced rate for students, under 18s, and Youth Mobility applicants is GBP 776 per year. Some routes are exempt. Gov.uk lists current rates and exemptions.