Introduction
The Isle of Dogs is a small peninsula in East London located on the north bank of the River Thames. With its prime real estate location surrounded by water and close proximity to Central London and Canary Wharf, the Isle of Dogs is considered one of the most affluent areas in London.
But its upscale reputation also comes with perceptions that it is an expensive place to live. In this article, we’ll explore the cost of living in the Isle of Dogs across housing, daily expenses, dining out, entertainment, education, healthcare, taxes, and the job market. We’ll analyze whether the area lives up to its posh image and if it really warrants premium price tags.
Housing Costs
Housing in the Isle of Dogs is quite expensive compared to the rest of London. Property prices in the area reach an average of $674,500 according to a CBRE report. Rents are also high, with the average rental cost being around $599 per month according to the same report.
A local housing needs assessment by Tower Hamlets found that rents for larger homes in the Isle of Dogs/South Poplar area tend to be higher than other parts of the borough. The assessment cited factors like proximity to Canary Wharf, new build flats, and river views as contributors to the relatively high housing costs.
Overall, buying or renting property in the Isle of Dogs comes at a premium compared to Greater London averages due to the area’s popularity, amenities, employment opportunities, and limited supply.
Daily Living Expenses
The Isle of Dogs is an expensive place for daily expenses like groceries, utilities and transportation compared to other parts of London according to residents on Reddit (https://www.reddit.com/r/london/comments/vxff5s/isle_of_dogs/). Groceries at local supermarkets can be 20-30% higher than average London prices. Utilities are expensive too with high council tax rates and energy bills. Transportation costs are above average with the reliance on taxis, Ubers or buses to get around. While the DLR and Jubilee line provide public transport, the stations are at a distance from many residences. Overall, daily expenses like groceries, utilities and transportation in the Isle of Dogs area tend to be pricier than other parts of London.
Eating Out
Eating out at restaurants in the Isle of Dogs can be expensive compared to other parts of London. Many of the restaurants cater to the business crowd working at Canary Wharf, so they tend to have higher prices. At upscale restaurants like Thyme Bar and Grill, the average meal cost is around £35-£50 per person, according to reviews on TripAdvisor (source). More casual pub food and ethnic restaurants have lower prices, with the average meal costing £15-25 per person. However, there are also options for cheap eats like noodle bars where you can get a meal for just £3.50 (source). Overall, dining out in the Isle of Dogs tends to cost more than the London average, but it is possible to find budget options among the many restaurants in the area.
Entertainment & Leisure
Isle of Dogs offers plenty of entertainment and leisure options, but many come at a premium price. According to residents on Reddit, nightlife in the Docklands area around Canary Wharf tends to be expensive, with drinks and meals costing more than average London prices. While there are some more affordable pubs and casual dining options, the neighborhoods around Isle of Dogs cater more to higher-end tastes.
For special events and shows, purchasing tickets for entertainment at the O2 Arena or a West End show can easily cost £100+ per person. Taking advantage of leisure activities like upscale gyms, golf clubs, and watersports around Canary Wharf also requires a high disposable income.
That said, the Isle of Dogs does have a number of parks and outdoor spaces like Mudchute Park and Millwall Park that offer free leisure options for locals. The area also benefits from its location along the River Thames, where recreation like walking, running, and cycling along the Thames Path comes at no cost.
What are your living costs? (Include whether this is London or not)
by inUKPersonalFinance
Education
The Isle of Dogs, being an affluent area of London, has a number of high-quality private schools. However, the fees can be quite high compared to other areas. According to Reddit discussions, private school fees in the UK are generally higher than elsewhere in Europe, often £10,000-£15,000 per year for primary school and £15,000-£25,000 for secondary school.
Childcare costs are also very high in the Isle of Dogs and across London. As per Mudchute Nursery, nursery fees are around £200 per month, and this can go up dramatically for private nurseries. Many Londoners express frustration at the high childcare costs, which can eat up a large portion of incomes. However, the quality of education and care is often excellent. Overall, families must budget substantial amounts for private school and childcare fees while living in the Isle of Dogs.
Healthcare
Private healthcare and insurance can be quite expensive on the Isle of Dogs. Many residents opt for private insurance to access quicker appointments and specialists. According to the dental practice Altmore Dental, a private dental consultation costs £60, with a £30 deposit (1). Root canal treatment starts at £250. Dentures cost a minimum of £400.
Pet healthcare can also be pricey. Isle of Dogs, a pet supplement brand, offers products to support canine health and wellness (2). Their supplements range from $7.99 to $24.99 per package. Regular vet appointments, vaccinations, dental cleanings and medical procedures for pets add to the cost of living on the Isle of Dogs.
Taxes
The Isle of Dogs is part of the London Borough of Tower Hamlets, so residents pay the same council tax rates as the rest of the borough. As of 2023, the average Band D council tax rate in Tower Hamlets is £1,224 per year (Source). This is one of the lowest council tax rates in London.
However, there has been some debate that wealthier homeowners on the Isle of Dogs should pay more council tax compared to other parts of Tower Hamlets, which contain more social housing. As one Reddit user argued, “A Tower Block of 300 flats [on the Isle of Dogs] worth a million quid each pays the same council tax as a tower block of 300 flats worth £50k each…council taxes should be, not just flat rate, but flat full stop?” (Source).
Aside from council tax, residents of the Isle of Dogs pay the same taxes as the rest of the UK, including income tax, capital gains tax, inheritance tax, VAT, and more. The only unique tax is the London Congestion Charge, which drivers must pay to enter central London.
Job Market
The job market and average salaries on the Isle of Dogs can vary greatly depending on the industry. According to Jooble, the average salary for a train driver in the Isle of Dogs is around £29,978 annually. For many first-time homebuyers, the salary required to purchase property has increased significantly in recent years. As reported by The Guardian, the average salary needed for a first-time buyer to purchase a home on the Isle of Dogs is 18% higher compared to other areas of the UK. Overall, salaries tend to be higher than the national average, but so is the cost of living. To live comfortably on the Isle of Dogs, experts estimate an average salary of £45,000 to £50,000 is ideal.
Conclusion
Isle of Dogs is generally an expensive area to live in London, especially when it comes to housing costs. Rent and property prices in Isle of Dogs are significantly higher than the London average. The cost of day-to-day living like groceries, transportation and utilities is also above average for London.
Going out for food, drinks and entertainment can get very expensive on Isle of Dogs due to the upscale restaurants, bars and amenities compared to other parts of London. However, there are still some affordable options if you know where to look.
While private school fees and healthcare costs are high, the job market on Isle of Dogs provides high salaries that offset the overall cost of living. The financial and technology companies based here also attract high-earning professionals.
In summary, Isle of Dogs is more expensive than many areas of London, especially for housing. But the neighborhood’s jobs, amenities and proximity to central London make it an attractive place to live despite the high costs.