London = 2nd most costliest place on Earth

Title says it all really!

Looks like London will be at top spot for this dubious honour in the not too distant future!

For today though, I'm not at all surprised - I just wish somehow the MacroEconomics, the boffins who understand it all as well as the government could work out how to make realistic income levels actually match or at least come closer to this absurd level of cost of living in both London and the UK as a whole!

Or is that wishing just a tad too much?!!

Could it be that the high value of the Pound Vs the USD which is mentioned in this report could subside and maybe London will go back down the list to 5th place (last time I checked/heard of it's ranking!) for a little while? or could I be as bold as to predict that with the upcoming 2012 Olympics the costs will only Increase for Londonners (and the UK as a whole?!) and therefore keeping London at 2nd most expensive or even up to the most expensive place on the planet for cost of living?!

What could be a 'trigger' to initiate a correction (not just for the housing market) of the UK's currently ever widening gap between Cost of Living and Realistic Income levels?!

I've already approached the job centre to look for a 2nd job - thats my personal situation solution!! - hardly ideal though!

Cheers (whilst I can still afford a drink!) Dennis! West effing Expensive London & Slough UK!

Doesn't surprise me. What's in 1st place now? I'm guessing Tokyo?

brum comes in at 41, i believe.

so sayeth "the metro".

Doesn't surprise me. What's in 1st place now? I'm guessing Tokyo?

When I read the Metro this morning on the bus, I think it said Moscow was #1.

http://news.bbc.co.uk/1/hi/world/6761487.stm

Here's the link to the actual Mercer study:

http://www.mercerhr.com/knowledgecenter/reportsummary.jhtml/dynamic/idContent/1095320

It's meant for companies to use in determining ex-pat packages and therefore is geared towards those on higher salaries.  The flat used in the study was £2000 a month, which is what a professional would be paying, not the average resident.

London cost-of-index went from 110.6 last year to 126.3 this year showing how much impact the exchange rate has on results (NYC is the base).

I'll be using this yet again this year to try to convince my US boss I need a raise ;-)

I think the biggest issue in the rise of these cities is the weekness of the dollar.  As mb said

(NYC is the base).

It is a little worrisome to be planning a move to the 2nd most expensive city on the planet, (my mother just can't let this fact die, just like this study, she's based on the dollar as well...for all of life's decisions, but that's another story).  But, I hardly let it bother me.  I'm sure I will be able to survive when I get there.

I used to live in Chicago, which has been on the list in the past.  I'm actually surprised Chicago is not on the list, for it has been for a long time typically like an 89 to NYC's 100.

I keep telling my mom that if you're making dollars and paying pounds, yeah, there will be some sticker shock. 

Hi Tyler

There's no doubt in comparison, London and pretty much the rest of the UK is extremely expensive to other similar countries and cities. Like many of the many people who do come here, once you are earning pounds and spending pounds, things get a little 'easier' to comprehend and manage. Usually, those people moving from the USA already know about this and as has been mentioned by people here, you've got to adjust quickly to that and try to resist the constant comparing with 'back home' prices!

so quick way to fix what yer mum thinks is to tell her about the 'relative' costs and earnings you'll be getting here. Maybe she'll understand a little more then, however, she'll probably come back with the biggest damning response which will be 'well you still probably wont be able to buy your own house for a long time and you'll still have to comprmise more in more areas of your life to live there' ! - unfortunatley, nothing you can really say to that except hope smetime in the future things change in a positive way (not price crashes, stock market collapses etc!)

No doubt economically, whatever happens in the USA sends ripples to all other countries, NYC is a very expensive place to live in the USA, but as this site is about comparing and contrasting and discussing differences, NYC has more value for money to UK people and Londonners than London itself! - waiting for the general UK economy to compensate isn't worth persuing so it's either supplement your income here and/or compromise more!

And don't forget, there's another interest rates rise on the cards before the end of the year and some plucky analysts are saying it could well be as soon as next month and others are even suggesting it'll go higher during 2008.....  not good...

Anyway, gotta look on the brightside as much as we can - and an appearance of some sunshine might help us all at least feel a bit better!!

Cheers! DtM! West London & Slough UK!

I heard that Sweden takes the biscuit for most expensive place...but they are also the most technologically advanced...I then thought next would be Japan and then the UK....Regardless of who is first...it's just expensive!

At this very moment the £ to $ ratio is:  2.05570 to 1

EEK!!