The UK Software, Product & IT Salary Benchmark Report (2026)

Salary bands for Software Engineers, Testers, Product Owners, Support Engineers, BI / Report Writers and Engineering Managers are still being set using historic benchmarks. Regional variation is being underestimated. Vacancy timelines are being planned optimistically even when budgets appear competitive. The impact is not simply slower recruitment. It manifests as delivery drag, retention pressure and rising vacancy cost that compounds quietly over time.

What this benchmark covers

The 2026 UK Tech Salary Benchmarks: Engineering & Product Management Guide provides national and regional salary benchmarks for the following roles:

• Software Engineers (Junior, Mid-Level, Senior and Lead)
• Testers and Automation Engineers
• Product Owners and Product Management roles
• Support Engineers and Support Managers
• BI / Report Writers and Data Reporting roles
• Development Managers and Engineering Managers

The benchmarks reflect permanent base salary ranges across the UK, including London, Manchester, Leeds and Birmingham, alongside insight into bonus structures, equity participation and hybrid working dynamics.

What this report answers

This report addresses the most common salary and hiring questions facing UK technology leaders and candidates in 2026:

• What are competitive salary ranges for software engineers and product owners in the UK?
• How do Manchester, Leeds and Birmingham salaries compare with London?
• Which engineering and product roles are seeing the strongest growth?
• How do bonuses and equity affect total reward packages?
• How does hybrid and remote working influence salary expectations?
• What is the real cost of leaving critical technical roles unfilled?

All insights are based on live placement data, regional hiring intelligence and real offer outcomes.

Summary

UK tech salaries in 2026 reflect a clear shift toward a skills-first hiring economy.

Base pay has grown by approximately 7.5% year-on-year, but salary movement is no longer uniform across locations or disciplines. London remains the capital anchor for senior software engineering and product leadership, yet its premium continues to compress. Manchester and Leeds have matured into high-density hubs for engineering delivery and product management, offering stronger total reward value and improved retention dynamics.

Many organisations are still applying legacy salary models.

Bands for Software Engineers, Testers, Product Owners, Support Engineers, BI specialists and Engineering Managers are often benchmarked nationally rather than by role scarcity or regional demand. Vacancy timelines are underestimated even when headline pay appears competitive, increasing delivery risk and attrition pressure.

The financial impact compounds quickly. The estimated cost of vacancy now exceeds £850 per day in lost product momentum for delivery-critical roles.

This benchmark examines how engineering and product management salaries are evolving across the UK in 2026, how regional power centres are reshaping competition for talent, and how employers and candidates can recalibrate decision-making in a skills-first market.

Key market signals (2026)

• UK tech base salary growth: approximately 7.5% year-on-year
• Primary benchmark locations: London, Manchester, Leeds and Birmingham
• Estimated cost of vacancy: approximately £850 per day
• Highest demand roles: Software Engineers, Product Owners, Automation Testers and Engineering Managers
• Fastest growing hubs: Manchester and Leeds
• Bonus prevalence: over 80% of employers now offer performance-linked bonuses
• Equity participation: equity schemes can contribute 20–50% of total compensation at startups and scale-ups

Specialist recruiter insight

“We’re seeing employers move decisively toward skills-first hiring. Proven delivery in cloud-native environments, automation and modern product teams now commands a premium over traditional credentials. The biggest risk in 2026 isn’t overspending on talent, it’s under-pricing critical roles and extending vacancy cycles.” -  MRJ Consultant

What’s inside the guide

National salary benchmarks by role
Base salary ranges for Software Engineers, QA and Automation Engineers, Product Owners, Support Engineers and Managers, BI / Report Writers, and Engineering Leaders.

Total reward benchmarking
How bonuses and equity structures influence real compensation competitiveness and retention.

Regional market dynamics
Detailed salary insights across London, Manchester, Leeds and Birmingham, including emerging premiums and efficiency opportunities.

Remote working and office anchoring
How hybrid policy, commuter premiums and national salary anchoring affect hiring velocity and candidate expectations.

Market trajectory (2024–2026)
How the UK market transitioned from cost containment into skills-led growth.

Hiring execution in practice
A real case study demonstrating how total reward strategy outperformed headline salary competition.

For who?

This guide is designed for:

• CTOs, Engineering Leaders and Technical Founders
• Product Leaders and Product Managers
• Heads of Talent, HR and Workforce Planning
• SME and scale-up operators hiring across the UK
• Technical professionals benchmarking career progression

If you influence hiring decisions, compensation strategy or leadership resourcing, this benchmark provides practical clarity.

Why download it

This is not a generic salary roundup or trend commentary.

It provides decision-grade insight into how engineering and product management compensation is behaving in the UK technology market in 2026.

You’ll gain:

• Role-specific national and regional salary benchmarks
• Visibility into where skills premiums genuinely exist
• Practical guidance on bonus and equity structuring
• Insight into hybrid and remote compensation dynamics
• A clearer understanding of vacancy cost risk
• Stronger alignment between hiring strategy and delivery outcomes

FAQs

What roles are included in the 2026 UK Tech Salary Benchmarks guide?
The report benchmarks salaries for Software Engineers, Testers and Automation Engineers, Product Owners, Support Engineers and Managers, BI / Report Writers, and Development and Engineering Managers.

Are tech salaries increasing in the UK in 2026?
Yes. UK tech base salaries have increased by approximately 7.5% year-on-year as organisations adopt skills-first hiring to close capability gaps.

How do Manchester and Leeds salaries compare with London?
London remains the capital anchor, but Manchester and Leeds now offer competitive salary bands with stronger retention and total reward efficiency for many roles.

How do equity packages work in UK startups?
Equity schemes such as EMI plans typically vest over four years with a one-year cliff and can add 20–50% to total compensation for senior hires in successful ventures.

Which tech roles are growing fastest in 2026?
AI Engineers, Cybersecurity Specialists, Data Architects and Cloud Infrastructure roles continue to see the strongest demand growth.

About MRJ Recruitment

MRJ Recruitment partners with high-growth technology businesses across the UK and Europe to build high-performance engineering and product teams.

Led by CEO and Founder Jody Marks, MRJ combines regional market expertise with data-driven recruitment models to help founders scale sustainably through skills-led hiring strategies.