While RSFTO makes a valid point - that one should try and hold out for the best possible terms, unfortunately the reality in the UK currently is that PPL flight training is on its knees.
I am not referring to a slump in the number of new PPL students (although that in itself is starting to be felt) but more the financial aspect of having to cap PPL courses around the £7,000 mark in order to compete with foreign flight training organisations, as well as remaining competitive within the domestic market. On current training rates, flight schools make an average of £5-£8 per hour, per aircraft, once costs are factored in. Add to this the inevitable weekly avionics failure or other costly glitch and one quickly realises why FTOs simply cannot afford to pay FIs more.
As has long been the case, those instructors who need to earn a living and who are not living off large pensions, are having to look at instructing part time and supplementing their incomes elsewhere. This leaves then, either relatively inexperienced instructors who are hours building to make them more attractive to airlines (yes, RSFTO, many airlines DO take instructing hours into consideration - although I'll admit this was not always the case), or those who are retired and are instructing for the joy of it, not the income - and given EASA has removed the requirement for instructors to be CPL rated, this route is now even more accessible. Personally, I view the removal of the CPL requirement as being a double-edged sword, but it does mean that those PPL holders who have many years of piloting experience and thousands of hours, will be able to pass on their skills to the next generation without having to pay through the nose to get FI rated.
Having run a successful flying school/airfield operation in the past, with in excess of 50 students training at any one time and 600+ airfield members, I can report that the flying school took roughly 75% of my time and generated about 10% of the profit - the restaurant was far more profitable.
Cheers, jez