A competing offer is the single most reliable lever in a salary negotiation. It removes opinion from the conversation and replaces it with market evidence. When a competitor is willing to pay you £X, your current employer has to decide whether they're willing to match it or let you walk.
But using a competing offer badly — or dishonestly — can destroy trust and leave you worse off. Here's how to do it right.
First: only do this if you'd genuinely consider taking the offer
This sounds obvious, but it matters. If you use a competing offer as a bluff and your employer calls it — by either refusing to negotiate or coming back with a number you can't refuse — you need to be prepared to follow through. Never claim you have an offer you don't have. It's dishonest, and it will come out.
How to bring it up
Don't lead with it. Start by requesting a conversation about your compensation: "I'd like to set up some time to talk about my salary." Then, in the conversation:
"I've been happy here and I want to be straightforward with you. I've received an offer from another company at [X]. Before I make a decision, I wanted to have this conversation. I'd genuinely prefer to stay, but I need to understand if there's a path to [target number] here."
This is honest, professional, and creates a clear decision point for both sides.
What to do if they match it
If they match or beat the offer, great. But consider: if they can find the money now, why couldn't they find it before? Is this a pattern — where you only get what you're worth when you threaten to leave? If so, the competing offer may have told you something important about whether to stay long-term.
What to do if they don't match it
This is useful information. Either the company genuinely can't afford to match, or they've decided you're not worth it at that price. Either way, you now have clarity. If you valued the role beyond the salary (growth, mission, team), this is the moment to quantify how much that's worth to you.
The leverage window is short
Once you've disclosed a competing offer, the clock starts. Don't let the conversation drag — push for a decision within a week. Prolonged negotiations signal weakness.
Before you go to market
Before interviewing elsewhere, make sure you know your market rate. Use our free salary checker to benchmark your current salary — if you're significantly below the median for your role and location, you're almost certainly going to receive offers materially above where you are.