The verdict in three sentences
A custom ATS for a London recruitment agency costs GBP 40,000 to 90,000 in 2026, versus GBP 90 to 350/month for a SaaS like Teamtailor or Recruitee. Custom becomes worthwhile when your success-fee billing and sourcing workflows no longer fit a generic tool, typically beyond 10-12 recruiters. Below that, stay on SaaS and invest in sourcing instead.
What a custom ATS costs in 2026
Pricing depends on scope: a simple candidate pipeline, or a full platform with multi-channel sourcing, scoring, success-fee billing and a client portal.
| Custom ATS scope | 2026 price (GBP) | Timeline |
|---|---|---|
| Pipeline + candidate database | 40,000 - 50,000 | 5 months |
| + Multi-channel sourcing & scoring | 55,000 - 70,000 | 6-7 months |
| + Success-fee billing & client portal | 75,000 - 90,000 | 7-8 months |
| Maintenance | 550 / month | recurring |
| Hosting + backups | 100 - 200 / month | recurring |
These are 2026 ballpark figures for an agency of 8 to 25 recruiters, excluding third-party integrations (LinkedIn Recruiter, job boards, e-signature).
SaaS vs custom: the tipping point
The key calculation: compare the annual SaaS cost (per user) against the custom build amortised over 4 years.
| Recruiters | SaaS GBP 280/user/mo (yr) | Custom GBP 70,000 over 4 yrs + maintenance | Verdict |
|---|---|---|---|
| 5 | 16,800 | 24,100 | SaaS wins |
| 8 | 26,880 | 24,100 | Break-even |
| 12 | 40,320 | 24,100 | Custom wins |
| 20 | 67,200 | 24,100 | Custom wins clearly |
| 30 | 100,800 | 24,100 | Custom essential |
The switch happens around 8-10 users. Beyond that, each recruiter adds roughly GBP 3,400/year in SaaS licences, while custom has near-zero marginal cost.
Mini case study
Sophie, managing partner of an executive search firm in London, employs 14 recruiters. Her SaaS costs 14 x GBP 280 = GBP 47,040/year. She commissions a custom ATS at GBP 68,000 built around her success-fee logic (18% of gross annual salary) and a client portal. Amortised over 4 years: GBP 17,000/year + GBP 6,600 maintenance = GBP 23,600/year. Net saving: GBP 23,400/year, plus 6 hours/week saved on automated billing. Payback in under 3 years.
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FAQ
What does a custom ATS really cost in London in 2026?
Between GBP 40,000 and 90,000 depending on scope. A simple pipeline starts at GBP 40,000; a full platform with success-fee billing reaches GBP 90,000.
What delivery timeline should I expect?
Around 5 to 8 months by complexity. A working MVP (pipeline + candidate database) can ship in 5 months, with billing and portal modules following in batches.
At how many recruiters does custom pay off?
Around 8-10. Below that, a SaaS at GBP 90-350/month stays cheaper and deploys in days.
Can it integrate LinkedIn and job boards?
Yes, via API and CV parsing. Budget an extra GBP 5,000 to 12,000 depending on the number of connectors (LinkedIn Recruiter, Indeed, Reed).
What annual maintenance budget?
Around GBP 6,600/year (GBP 550/month) plus hosting, for a recurring total of roughly GBP 7,500 to 8,500/year.
Let's scope your project. Tell us your mandate volume, success-fee model and recruiter headcount, and we will price a fit-for-purpose custom ATS, indicative budget GBP 40,000-90,000, delivered in batches. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.