There has been much talk in the press about the reasons people have for moving abroad, and one of the main reasons seems to relate to cost of living. As the cost of living in the UK rises, inflation increases and fuel costs go through the roof, an increasing number of Brits are actively thinking about escaping UK in search of a more affordable life overseas, and this particularly applies to retirees living on a fixed income.
In this article we will look at where NOT to live abroad if you want a more affordable cost of living! Whilst previous posts on our site have looked at affordable havens such as Turkey and Belize, there are just as many unaffordable destinations, and thanks to a detailed survey by Mercer we now have the definitive list of unattractively expensive places to live!
The most expensive place on the planet is once again Moscow! If you want your weekly pension income to stretch to buying you much more than a cup of coffee (it costs £5.19 in this Russian city), avoid Moscow at all costs. Moscow is closely followed by Tokyo which has knocked London off the number two spot this year. In Tokyo a nice enough two bedroom flat will cost you £2,613 a month to rent – the most expensive housing related cost of all cities surveyed by Mercer.
Staying closer to home and moving to London will mean you’re living in the third most expensive city in the world – so it may make sense to move abroad after all. But forget about Switzerland where you might have thought you could save on some tax. Geneva comes it at number eight with Zurich hot on its heels at number nine.
Even the beautiful Italian city of Milan is no longer an affordable consideration for those looking for a place abroad. Because of its massive appeal, the fact that it is so chic, so famous and so in demand, the city lands at number ten on Mercer’s list of the top ten most expensive cities in the world.
All major euro zone cities have jumped significantly as a result of the strength of the euro – which ties in with the fact that many who have already expatriated to the likes of Spain and Cyprus, Malta and France are suffering from receiving a pension income in pounds which now buys them far fewer euros.
The one place it could make more financial sense to live in now is America – the weak dollar means that pounds and euros buy an awful lot more stateside than they once did. But then again, planning your retirement on a currency gamble is an unwise plan for the long term!