Cost of Living in Spain vs UK and USA (2025)

If you're considering relocating or retiring to Spain, particularly in sunny coastal areas like the Costa Blanca offers a high quality of life at a fraction of the cost compared to the UK and USA. From daily expenses to utility bills and healthcare, the difference in cost can be substantial.

Below is a detailed cost comparison across all three countries, covering the most common living expenses for a two-adult household living in a comfortable home or resort community..

Unified Cost of Living Comparison Table

Category	🇪🇸 Spain (€)	🇬🇧 UK (€)	🇺🇸 USA (€)
Food & Groceries (2 adults)	€400	€580	€600
Electricity & Gas	€90	€255	€265
Water	€30	€40	€37
Rubbish Collection / Services	Included	Included	€35
Internet & Mobile	€50	€70	€92
Car Costs (fuel, insurance)	€150	€255	€275
Car Taxes / Road Tax	€12	€17	€18
Private Health Insurance (2 ppl)	€120	€140	€645
Pet Health Insurance (1 pet)	€20	€40	€46
Resort/Community/Property Fees	€90	€210 (council tax)	€275 (property tax)
Air Conditioning / Heating Costs	Included in Elec.	€105 (heating)	Included
Swimming Pool Maintenance	€80	Rare	€92

Monthly & Annual Totals

Country	Monthly Total (€)	Annual Total (€)
🇪🇸 Spain	€1,022	€12,264
🇬🇧 UK	€1,732	€20,784
🇺🇸 USA	€2,480	€29,760

UK values converted at £1 = €1.16 and USA values at $1 = €0.92 (mid-2025 rates)UK values include council tax and heating.US values include property tax, AC, and healthcare costs.

Key Observations

• Spain is the most affordable country in nearly every category, especially healthcare, utilities, and taxation.

• UK residents pay a high council tax (€210 monthly on average), and must spend extra on home heating pushing up their winter bills.

• USA residents face significantly higher healthcare costs, with private insurance alone costing over €8,000 annually for two adults.

• Rubbish collection in Spain is included in local municipal fees, unlike the US.

• Electricity costs in Spain are moderate and include air conditioning, while the UK must budget for heating in colder months.

Final Verdict

• Spain is significantly cheaper than the UK and USA across nearly all living expense categories.

• Council tax in the UK and property taxes in the USA are major additional costs not present in Spain (where local taxes are minimal or included in community fees).

• Electricity and heating costs are much lower in Spain, thanks to a warmer climate.

• Spain offers affordable private health insurance, often with English-speaking providers in expat areas.

• Running a swimming pool and air conditioning in Spain is very affordable compared to heating costs in colder climates.

Relocating to Spain could save you €8,000 to €17,000 annually, depending on your current location. For retirees, digital nomads, or lifestyle seekers, Spain offers a balanced lifestyle, lower overheads, and warmer climate making it a top relocation destination in 2025.