What does Large Town Allowance mean?

A Large town allowance is an additional payment to the salary an individual receives, just because given the area he works in (a larger town), requires definitely much higher living expenses. For example, you may find job advertisements which state that the salary for the respective job is £25,000, plus a large town allowance of £1,400.

If you find a much higher large town allowance being offered, then the basic salary is definitely lower: for example if the offered allowance is as high as £3,000, then do not expect higher salaries than £15,000. Many times mortgage lenders will hold this aspect  of large town allowance as decisive as well when you are about to contract a mortgage.