Software engineers in San Francisco are being paid 37% more than their London counterparts, according to recruitment firm Hired.
The average salary for a London software engineer is £54,000 while the average salary for software engineers in San Francisco is a whopping £86,000.
Well-funded technology startups like Uber, Airbnb and Pinterest have their headquarters in San Francisco, as do larger corporations like Salesforce and Twitter.
New York companies are also paying software engineers considerably more, with engineers in the Big Apple taking home an average of £81,000 (or 33% more).
Interestingly, UK-based tech companies offer much more to software engineers coming from San Francisco, awarding them salaries of £91,600 a year on average. Similarly, software engineers from New York are reported to receive salaries of over £85,500 a year on average when they move to London.
“With a string of high profile exits and an influx of venture capital investment, London’s importance as a global tech hub is growing quickly,” wrote Hired in the report. “As the tech community grows and more traditional businesses begin to embrace the digital world, the demand for technical skillsets is increasing.
“However, despite this growing demand for tech talent, Hired‘s data indicates that salaries in London for software engineers hasn’t kept pace with other world-class tech centres such as San Francisco and New York. In fact, when compared to these two cities, UK companies actually offer the lowest average salaries for software engineers.”
The data shows that larger companies tend to pay more to software engineers on average.
It also shows that 28% of software engineers in the UK were from other parts of Europe or the US, with San Francisco based candidates receiving the highest number of offers from London companies. European software engineers that work in the UK predominantly hail from Spain, Sweden, and France.
Conversely, salaries offered to candidates coming from other countries (excluding the US) tend to be significantly lower than those offered to UK-based candidates.
NOW WATCH: Tech Insider videos
Business Insider Emails & Alerts
Site highlights each day to your inbox.