London is now the second most expensive city in the world for expatriates to live in due to steep house prices and a rise in rental costs.
The UK’s capital rose three places in Mercer Human Resource Consulting’s Cost of Living Survey 2007, positioned only behind Moscow, which topped the list of the world’s most expensive cities for the second consecutive year.
While Moscow scored 134.4 on the scale, London’s score stood at 126.3. Yvonne Traber, research manager and senior consultant at Mercer, said: “Steep property rental costs, together with the strengthening of the British pound compared to the US dollar, have contributed to the city’s high ranking.”†
Rebecca Powers, a principal and senior consultant at Mercer, said: “As companies continue to send employees on expatriate assignments, they must closely monitor changes in cost of living to ensure their expatriate compensation packages are fair and competitive.”