You may be mislead in thinking that if something is only available locally, it have to be cheaper than something that is available globally. That is not true in case of many products and it is totally untrue for website hosting.

Global and big hosting companies have a lot of clients and the costs for maintenance is lowered by the volume. The marketing strategies are cheaper because they can be addressed worldwide.

In other cases a lot of clients means higher prices, but the web hosting market is so competitive that the prices are at minimum and the most profitable web hosting companies are those who offer the cheapest web hosting accounts. But on a local market, there are fewer hosting companies and the competition is lower which let players to request higher prices.

Why do you need a local web hosting company ? The loading speed is very important for any website. If a website takes too much to load visitors will leave. If you have visitors coming only from a country then the best way to have high loading speeds for all of them is to host your website locally. This is not the case if your website is dedicated to global users which may result in fast loading for some users and slow loading speed for most users.

If you have a website based in UK, then you might want a UK based web hosting, but it is not that easy to find a Low cost web hosting UK company. If all users are near to the location where the servers are your website will be loaded faster and you won’t lose visitors.

If it is the first time you launch a website then you may want to think where to get a domain name. You can get a good offer if you buy the domain from the same company where you get the hosting, but be aware, some companies will try to take use of the fact that you have the domain hosted with them to make you to never cancel your web hosting account. You can sue them and get your domain back, but there is too much trouble that you can avoid from the begining by choosing other company for your Domain name registration.