Labour rate
Workshop glossary › Workshop operations · UpdatedThe hourly charge-out rate a workshop bills for technician time. Varies by market, specialism, and overhead — typically £55–£140/hr in the UK, €70–€160/hr in Western Europe, $90–$180/hr in the US.
The labour rate (also: shop rate, charge-out rate, hourly rate) is what a workshop bills per hour of technician time. It is not the technician's wage — it has to cover wages, employer's social charges, bay overhead, tooling depreciation, software, insurance, training, and the workshop's margin.
Rates in 2025–2026 vary enormously by market and specialism:
- UK — £55–£75/hr at an independent general shop, £85–£140/hr at a main dealer or specialist (German marques, EV).
- Sweden — 750–1 250 SEK/hr for independents, 1 200–1 600 SEK/hr for authorised dealers, ex. VAT.
- Germany — 85–125 €/hr at a free workshop, 130–180 €/hr at a Mercedes / BMW / Audi Vertragswerkstatt.
- US — $90–$140/hr at independents, $140–$220/hr at dealers in major metros.
Independent shops underprice their labour by 15–25% on average compared to what their overheads actually require — see our guide on how to price labour hours.