Fractional HR Salary Overview
Fractional HR salary in the UK varies significantly based on seniority, location, industry, and client portfolio. Unlike full-time HR roles with fixed annual salaries, fractional HR professionals charge day rates—typically ranging from £700 to £1,300 per day in 2025.
The fractional HR pay model offers higher effective hourly earnings than most full-time positions. A fractional HR Director working 2-3 days per week at £1,000/day earns approximately £130,000 annually—often exceeding a full-time HR Director salary while offering more flexibility. Most fractional HR professionals operate through limited companies for tax efficiency.
Fractional HR Day Rates by Seniority
| Level | Day Rate | Annual (Est.) | Experience |
|---|---|---|---|
| Fractional People Partner | £600-£850/day | £78k-£110k | 8-12 years |
| Fractional HR Director | £900-£1,100/day | £117k-£143k | 12-18 years |
| Fractional CHRO | £1,100-£1,300/day | £143k-£169k | 18+ years |
*Annual estimates based on 130 billable days per year (2.5 days/week average)
Fractional HR Salary by Location
| Location | Day Rate Range | vs Average |
|---|---|---|
| London (City/West End) | £950-£1,300/day | +20% |
| London (Tech/Shoreditch) | £850-£1,200/day | +10% |
| Manchester | £750-£1,050/day | Base |
| Birmingham | £700-£1,000/day | -5% |
| Edinburgh | £750-£1,050/day | Base |
| Bristol | £750-£1,000/day | -3% |
| Remote UK | £700-£950/day | -10% |
Fractional HR Rates by Industry
| Industry | Day Rate Range | Demand |
|---|---|---|
| Private Equity / VC Portfolio | £1,000-£1,300/day | Very High |
| FinTech / Financial Services | £950-£1,250/day | High |
| Tech / SaaS | £900-£1,200/day | Very High |
| Healthcare / Life Sciences | £850-£1,150/day | Medium |
| Professional Services | £800-£1,100/day | Medium |
| E-commerce / Retail | £750-£1,050/day | High |
| Manufacturing | £700-£1,000/day | Medium |
Factors Affecting Fractional HR Salary
Several factors influence fractional HR earnings:
- Qualifications - CIPD Level 7 qualified professionals command 10-15% higher rates
- ER expertise - Tribunal experience and complex ER skills add £100-150/day premium
- Industry specialisation - Deep sector expertise (FinTech, PE) commands premium rates
- Scale experience - Having built HR functions at 100+ employee companies increases rates
- M&A experience - TUPE and integration expertise adds significant premium
Full-Time HR Director vs Fractional HR Salary
Comparing fractional HR salary to full-time equivalents requires considering total compensation and working patterns. A full-time HR Director at a Series B startup might earn £120,000-£150,000 plus benefits. A fractional HR Director earning £1,000/day for 130 days achieves £130,000—similar cash compensation with more flexibility and typically better effective hourly rate.