How to Set Your Day Rate as a Plumber in the UK

Most plumbers going self-employed pick a rate by looking at what someone nearby charges, going slightly lower to win work, and hoping it's enough. Sometimes it is. Often it isn't — and you won't know until January when you're working out why you've been busy all year but the account doesn't reflect it.

The right way to set a day rate is to work backwards from your actual costs and what you need to take home. Here's how.

Step one — what do you need to take home?

Start with your personal costs. Rent or mortgage, food, car, bills, family commitments — what do you need net each month to cover everything comfortably?

Let's say that number is £2,800 a month net. Over the year, that's £33,600 take-home.

To take home £33,600, you need gross earnings (before tax and NI) of roughly £42,000–£45,000 — depending on your expenses and how much you can legitimately offset. Work with £43,000 as a rough target profit.

Step two — calculate your annual costs

These are costs you have regardless of whether you're working:

Van — insurance, road tax, fuel, servicing, tyres: £5,000–£8,000 Tools and equipment — replacement, repairs, consumables: £1,500–£3,000 Insurance — public liability, tools, professional indemnity: £800–£1,500 Gas Safe registration (if applicable): £100–£200 per year Phone and data: £600–£1,200 Accountant: £500–£1,500 Work clothing and PPE: £300–£600 Training and certification: £500–£1,000

For a reasonably equipped sole trader plumber, you're looking at £9,000–£16,000 a year in fixed costs. Use £12,000 as a working figure.

Step three — how many days are you actually billing?

A year has 260 working days. Here's what eats into that:

28 days holiday 8 bank holidays 5-8 days sick 10-15 days non-billable time: quoting, parts runs, callbacks, admin 5-10 days of gaps between jobs, especially in slower periods

That leaves around 195-210 billable days. Use 200 to be safe.

Step four — putting it together

You need: £43,000 target gross profit Plus £12,000 in costs Total minimum turnover: £55,000

Divide by 200 billable days: £275 per day, minimum. That's your floor before you build in any margin for profit growth, equipment replacement, or the fact that not every year goes to plan.

What plumbers are actually charging in 2026

South East and London: £350–£500/day Midlands and North West: £250–£380/day Yorkshire and Humber: £230–£360/day Scotland: £240–£350/day Gas work, boiler installs, underfloor: 20-30% premium on standard rates

If your floor is £275 and your local market is £300–£380, you're in a reasonable position. If your floor is £275 and the local market is £220, something needs to change — either your costs, your area, or you need to specialise.

Day rate vs fixed price

Day rates suit reactive work, maintenance contracts, and contractor sites. Fixed pricing suits bathroom installs, kitchen fit-outs, and domestic customers who want certainty.

For fixed-price jobs, you're estimating your time, adding a buffer, then pricing the labour element. A 15-20% buffer on estimated labour is not excessive — it accounts for the inevitable surprises behind walls that you couldn't see during the quote.

Always price materials separately. Materials are not part of your day rate — they're a pass-through cost that you buy and charge. List them separately on every invoice.

When to put your rates up Review your rate every April. Put it up if:

You're booked more than three weeks out consistently Your costs have increased You've gained additional qualifications or specialism You haven't raised rates in over 12 months

A £25-£30/day increase on a 200-day year is £5,000-£6,000 extra turnover. Most good customers won't walk.

The number that matters Do this calculation with your actual numbers — your rent, your van costs, your insurance. The result is your floor. Add 20% margin on top. That's your rate.

Then check it against the market and adjust from there. Either way you'll know what the number means — which is a far better position than guessing and wondering why it never quite adds up.