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Olga Gubanova
Olga Gubanova

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What Does It Really Cost to Build an App in the UK? (2025 Guide)

TL;DR
A London-built MVP averages £90 k. A hybrid team (UK product lead + Eastern-Europe devs) lands around £55 k.
Cut costs with R&D tax credits, SEIS, and a disciplined DevOps plan.

1 — 2025 price bands

Team model Hourly rate Typical MVP budget
London agency £90–120 £90 k – 120 k
Regional UK £65–85 £60 k – 80 k
Hybrid (UK PM + EE devs) £40–60 £45 k – 60 k

2 — Hidden costs founders overlook

  • VAT (+20 %) – instantly inflates every UK invoice.
  • GDPR & legal (£5 k – 10 k) – privacy policy, ICO registration, IP assignment.
  • Maintenance (15 – 25 % / year) – OS updates, cloud bills, SLA support.

3 — Three proven ways to trim spend

  1. Hybrid team – keep local product ownership, move coding near-shore.
  2. R&D Tax Credit – up to 27 % cash back on qualifying work.
  3. SEIS + Innovate UK grants – together can slash 30 – 50 % off the headline cost.

4 — Crunch your own numbers

Estimated_Build = DayRate * DevDays Annual_Support = Estimated_Build * 0.20 Net_Cost = (Estimated_Build + Annual_Support) - (Grants + TaxCredits) 

👉 Dive deeper


Shipped a UK app recently? Drop your numbers in the comments so we can sanity-check each other’s budgets.

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