Skip navigation
Skip navigation
You are using an outdated browser. Please upgrade your browser.

Research conducted by Nannytax reveals the average cost of employing a nanny in Greater London and Home Counties has risen by 19% in the last year.

According to their latest annual Nanny Salary Index, released today (28/07), nannies in these regions are paid an average hourly rate of £13.26 in comparison to £11.15 reported back in 2019.

The increase is put down to the effects of the pandemic causing families to leave the capital, a shortage of nannies due to Brexit and the on-going demand for flexible childcare.

“We have seen a surge in enquiries from new families in the Greater London and Home Counties regions as they relocate outside the capital due to the increased prevalence of work from home flexibility created by the pandemic” says Mrs Frankie Gray, Founder and Director of Harmony at Home, a nanny and household staff recruitment agency franchise.

Luxury domestic service recruitment agency Polo & Tweed share, “With a shortage of nannies relocating from Europe due to Brexit, we’ve seen an increase of nannies arriving from overseas territories, and families understanding they will have to pay higher salaries to complete in a seller’s market – the nanny being the seller!”

Nannies provided childcare for families of key workers and other parents, who with the support of their nanny, were able to maintain their full-time jobs from home.

Nannytax can now confirm 64% of nannies continued to work between April 2020 and April 2021 without any periods of furlough. This includes during the first national lockdown as nannies were confirmed as the only childcare providers able to work unlike schools, nurseries and other childcare businesses who were forced to close.

“When the first lockdown was announced my employers and I had a meeting to discuss how we could safely manage the situation, ensuring that the parents could continue to work from home full-time undisturbed and I could support the children with home-schooling”. Michelle Cusack, Nursery World's Nanny of the Year 2019 shares. “I extended my working hours, providing the flexibility that the family required whilst they helped me with the logistics of getting to and from work.”

As restrictions ease across the country, working mum burden continues to be a hot topic and Nannytax believe nannies are the solution that many families desperately require. This comes as TUC report nearly two-thirds of working mums don’t have enough childcare for the holidays.

“Our nanny is part of our family, and we could not live without her”, Mr. N a Nannytax customer says. “Her care for our son is second to none and it allows us to have a great balance between work and family life. She is a key part of our life and we could not have been so stable these past few years all through world events and family circumstances too.”

Founder & Director of Harmony at Home states “We are finding that more families are newly interested in the services of in-home childcare provided by a professional nanny. Many of these families have not used a nanny before and now realise the benefits of flexibility and safety in their home setting.”

It is no secret that a nanny can be one of the more costly childcare options, especially with salaries seeing such an increase in Greater London and Home Counties, however, Kirsty Wild Head of Sales & Marketing at Nannytax says “Investing in flexible childcare can really lift the burden that is currently on so many working parents, particularly mums. The cost-saving benefits of a nanny do become apparent for families with more than one child when weighed up against nursery fees. Also, nanny shares provide further financial benefits as you can split the costs with another family. Plus some families who employ Ofsted nannies can use the Tax-free Childcare scheme which can provide up to 2k saving per child, per year.”

Disclaimer: Average salaries have been calculated from Nannytax payroll data for the 2020/21 Tax Year. All figures are shown in gross and have been rounded to the nearest pence.

In 2008, Nannytax released its first annual wages report, a resource which has proven to be invaluable for nanny employers, nannies and nanny agencies over the last 13 years.

About Nannytax
Nannytax offer an award-winning nanny payroll service that gives families end-to-end support with the employment of their nanny. From contracts and payslips to HR and legal support, the Nannytax team take away all the PAYE hassle from employing a nanny. Service add-ons include Nannytax Plus for direct nanny salary payments and tax payments to HMRC, a fully managed nanny pensions service and Employers Liability Insurance. Visit to discover more about their services or call a member of their team on 020 3137 4401 – Nannytax are open 7 days a week.


The full Nannytax Nanny Salary Index 20/21 report can be downloaded here.

For further information, visuals or full press release please contact:
Nannytax Marketing Team
Tel: 020 3137 4402 Email:

This press release was distributed by ResponseSource Press Release Wire on behalf of Nannytax in the following categories: Children & Teenagers, Business & Finance, Education & Human Resources, for more information visit