Cost Guides ยท Updated June 2026

How Much Does a Granny Annexe Cost in 2026? (UK)

A granny annexe typically costs ยฃ40,000โ€“ยฃ100,000 in 2026. A prefab or modular annexe usually lands at ยฃ40,000โ€“ยฃ70,000, while a larger bespoke masonry annexe can reach ยฃ80,000โ€“ยฃ100,000+ once groundworks and fit-out are included. Here is the full UK cost breakdown and how to keep the price down.

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Granny annexe cost breakdown (2026)

The price of a granny annexe depends mostly on whether you choose a prefab/modular build or a bespoke masonry one, plus the size and specification. As a 2026 UK guide: a compact prefab annexe starts around ยฃ40,000, a mid-size modular build runs ยฃ55,000โ€“ยฃ70,000, and a larger bespoke annexe with a full kitchen and bathroom reaches ยฃ80,000โ€“ยฃ100,000+.

What affects the price

The biggest cost drivers are floor area, foundations and groundworks, utility connections (electrics, water, drainage), insulation and heating, and the fit-out of kitchen and bathroom. Difficult access, sloping plots and planning conditions can also push costs up.

How to keep the cost down

Choosing a standard modular design, keeping the footprint efficient, and siting the annexe close to existing utility runs all reduce cost. Always get three quotes from vetted specialists so you can compare both price and specification rather than headline figures alone.

How to budget step by step

1. Choose prefab or bespoke

This single decision sets your baseline budget more than any other factor.

2. Add groundworks and utilities

Foundations, drainage and connections can add several thousand pounds.

3. Factor in fit-out

Kitchen, bathroom, flooring and heating complete the all-in cost.

4. Get three quotes

Benchmark at least three vetted annexe builders before committing.

FAQs

A prefab annexe typically costs ยฃ40,000โ€“ยฃ70,000, while a larger bespoke masonry annexe can reach ยฃ80,000โ€“ยฃ100,000+ depending on size, groundworks and fit-out.
Yes. Modular and prefab annexes are generally cheaper and faster to build than bespoke masonry annexes because they use factory-made components.
No. Building an annexe in your own garden does not trigger stamp duty, which is one of the main savings versus moving to a larger home.

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