If you’re a UK business owner considering bringing in senior technology leadership, cost is probably the first question on your mind. The good news: you don’t need to spend £150,000 a year to get C-level technology expertise. A fractional CTO gives you the same strategic guidance at a fraction of the cost.
The quick answer: £1,500 to £6,000 per month
Most fractional CTO engagements in the UK fall within this range. The exact figure depends on three factors: how many days per month you need, the complexity of your technology landscape, and the experience level of the CTO.
At the lower end, you get 1 to 2 days per month — enough for strategic oversight, quarterly planning, and key decision support. At the higher end, you get 6 to 8 days per month — deep involvement in architecture, team management, and hands-on project leadership.
How does that compare to a full-time CTO?
A full-time CTO in the UK commands a salary of £120,000 to £180,000 per year. Add employer National Insurance (13.8%), pension contributions (3-5%), benefits, and the 3 to 6 months it takes to recruit one — and the true cost is closer to £180,000 to £250,000.
A fractional CTO at 4 days per month costs roughly £36,000 to £72,000 per year. That’s a saving of £100,000 or more — money that can go straight into the technology investments your business actually needs.
What’s included in a fractional CTO engagement?
The scope varies by provider, but a good fractional CTO should cover: technology strategy and roadmap planning, architecture decisions and code reviews, vendor evaluation and contract negotiation, team mentoring and hiring support, cybersecurity oversight, and AI and automation strategy. Some providers — including SelectWise — also offer a technology health check as a standalone starting point, so you can assess the value before committing to an ongoing engagement.
Three pricing models to understand
Retainer (most common): A fixed number of days per month at a set rate. Predictable costs, guaranteed availability. This is how most fractional CTO relationships work, and it is what SelectWise offers.
Project-based:A fixed fee for a defined scope — such as a technology audit, vendor selection, or architecture review. Good for one-off needs, but lacks the ongoing strategic relationship.
Hourly: Pay as you go, typically £150 to £350 per hour. Flexible, but costs can escalate unpredictably and you lose the strategic continuity that comes with regular involvement.
When is a fractional CTO worth the investment?
The short answer: when the cost of not having one exceeds the cost of having one. If your business is spending more than £50,000 per year on technology — software subscriptions, development, IT support — the odds are high that a fractional CTO will save you more than they cost, simply through vendor rationalisation, better architecture decisions, and avoiding expensive mistakes.
If you’re not sure whether you’re at that stage, take the AI Readiness Quiz or read about the 5 signs your SME needs a fractional CTO.
How to get started without risk
At SelectWise, every engagement starts with a free 15-minute conversation. No sales pitch, no obligation. If a fractional CTO engagement makes sense, you get a clear proposal with exact costs before committing to anything. If it doesn’t make sense, I’ll tell you that too — and point you in the right direction.