Free guide
What it really costs to live in Dubai
No income tax, but rent and school fees decide whether the move adds up. Pick your household and where you’d live.
Who’s moving?
5 householdsWhere you’d live
The headline numbers
Income tax0%On salary
VAT5%On most spending
Housing fee5%Of your rent, paid monthly on DEWA
School feesFrozenNo rises for 2026–27
Your fixed costs each month: just me, value area
| Cost | A month | Notes |
|---|---|---|
| Rent (1-bed apartment) | AED 4,700–5,100 | Examples: Al Nahda, International City. Average asking rents, H1 2026 |
| Housing fee | AED 200–300 | 5% of annual rent, split across 12 DEWA bills |
| DEWA (electricity and water) | AED 300–800 | Winter to summer; estimate Portal estimate |
| Home internet | AED 200–300 | 5G home or fibre plans |
| Mobile | about AED 200 | Per household, estimate |
| Before food, car and fun | AED 5,500–6,600 | About £1,100–1,400 at AED 4.90 to £1 |
Rent is usually paid a year ahead in 1–4 cheques, so you need the cash up front.
Sources: Bayut: Dubai rental report H1 2026; Bayut: housing fee; DEWA: slab tariff.
Everyday prices
Sep 2026| Item | Price | Source |
|---|---|---|
| Petrol, Super 98 | AED 3.80 a litre | Sept 2026; changes monthly |
| Salik toll | AED 4 or 6 a crossing | AED 6 at weekday peaks, free 1–6am |
| Metro, one zone | AED 3 | Silver nol card |
| Milk, 1 litre | about AED 6 | Crowdsourced |
| Cappuccino | about AED 22 | Crowdsourced |
| Meal for two, mid-range | about AED 300 | Crowdsourced |
Sources: Khaleej Times: fuel prices, Sept 2026; RTA: nol fares; Numbeo: Dubai (crowdsourced).
Costs that surprise people
- District cooling: some buildings bill air conditioning separately.
- Summer bills: air conditioning can double DEWA from June to September
- School extras: uniforms, buses, trips and exams on top of tuition
- Alcohol: a 30% sales tax on sellers returned in January 2025, so prices are high
- Car costs: comprehensive insurance, registration, fuel and tolls add up quickly
Where rents are heading
Rents rose fast in 2022–24 and are now easing. CBRE reported Dubai rents down 6.2% in the second quarter of 2026 and 2.6% on a year earlier. Villas have held up better than apartments.
Source: Gulf News: CBRE Q2 2026.
Before you commit: the regional situation. Conflict involving Iran has disrupted flights across the Gulf in 2026. The FCDO does not advise against travel to the UAE but asks people to be ready for disruption. Read the FCDO travel advice (last updated 24 July 2026).
Questions people ask
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