United Kingdom vs Pakistan: Tax Comparison

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On a $100,000 salary, you'd take home $72,162 in United Kingdom versus $65,002 in Pakistan.

United Kingdom

$72,162

+$7,160/year

Pakistan

$65,002

That's $597 more per month in United Kingdom

Side-by-side breakdown

Highest Take-Home

United Kingdom

2025-26 · London

27.8%

effective tax rate

Take-home
$72,162

$6,013/mo

Income 23% Social 5%

Pakistan

2024-25

35.0%

effective tax rate

Take-home
$65,002

$5,417/mo

Income 32% Social 0% Other 3%

Tax rate by income level

Effective Tax Rate by Income

Shows effective tax rate (total tax / gross income) at different income levels in USD

Understanding the difference

Life & Taxes

A Tale of Two Worlds

Moving between the UK and Pakistan often means choosing between London's bustling corporate ladder and the vibrant, community-centric life in cities like Islamabad or Lahore. While the UK draws ambitious professionals seeking global career hubs, Pakistan is increasingly becoming a hotspot for remote tech talent and returning diaspora looking for a rich cultural connection.

Lattes and Lifestyles

Living in the UK offers a structured, fast-paced environment where efficiency is king, though it often comes at the price of a higher cost of living. In contrast, Pakistan offers a lifestyle defined by warmth and legendary hospitality, where your income often stretches further to afford a level of domestic comfort and social connection that is hard to replicate in Europe.

The Taxman's Blueprint

The UK keeps things simple with just three main tax brackets, but the top rates are significantly higher, making it a steeper climb for high earners. Pakistan uses a more granular six-tier system with a lower top marginal rate, which can be more forgiving for those climbing the middle-income ladder, provided they qualify under the salaried individual status.

What Your Money Buys

UK taxes primarily fund the National Health Service and a robust social safety net through National Insurance, offering peace of mind from cradle to grave. In Pakistan, social contributions like EOBI are much more targeted toward retirement, meaning residents often rely more on private services or family networks for their daily welfare and healthcare needs.

The High-Earner's Verdict

If you are a top-tier executive, Pakistan's 35% cap is far more attractive than the UK's 45% peak, especially when you factor in the UK's 'hidden' tax increase as the personal allowance disappears for high earners. However, the UK's streamlined system and public infrastructure provide a 'value for money' trade-off that many find worth the extra contribution.

Detailed tax breakdown

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