United Kingdom, London

Country Full Name: United Kingdom of Great Britain and Northern Ireland.

Country Location: The United Kingdom is in Western Europe, and consists of islands including the northern one-sixth of the island of Ireland between the North Atlantic Ocean and the North Sea, northwest of France.

Country Climate: Temperate; moderated by prevailing southwest winds over the North Atlantic Current; more than one-half of the days are overcast.

Country Terrain: Mostly rugged hills and low mountains; level to rolling plains in east and southeast.

Country Major Languages: English.

Country Major Religions: Christianity.

Location Population: 13.9 Mil (2012 est.).

Country Economy: The economy of the United Kingdom is that of a major developed capitalist economy. The United Kingdom is one of the world's most globalised countries. The British economy is made up of the economies of England, Scotland, Wales and Northern Ireland. In 1973, the UK acceded to the European Economic Community which is now known as the European Union after the ratification of the Treaty of Maastricht in 1993. The UK economy had been one of the strongest EU economies in terms of inflation, interest rates and unemployment, all of which remained relatively low until the 2008-09 recession, when unemployment rose dramatically, and interest rates fell to 0.5%.

Country Currency: British Pound (GBP).

Country Inflation: 3.2% (2012 est.).

London is the capital of England and the United Kingdom. It is the UK's largest and most populous metropolitan area and the largest urban zone in the European Union.

London is a leading global city and the world's largest financial centres with the largest city GDP in Europe. Central London is home to the headquarters of most of the UK's top 100 listed companies (the FTSE 100) and more than 100 of Europe's 500 largest. London's influence in politics, finance, education, entertainment, media, fashion, the arts and culture in general contributes to its global position. It is a major tourist destination for both domestic and overseas visitors.

The cost of living in London is very high compared to other places. This is based on a comparison of locally collected prices for defined quantities of the same goods and services, converted to USD. Sources include local service providers in each location, international service providers, official governmental statistics and global agency data. The data is quality assured and manually checked by Xpatulator Analysts. The prices of similar related items have been grouped together into 13 basket groups and the cost of living index calculated for each basket in each location. The 13 basket groups are the result of extensive research of actual spending habits ensuring the cost of living indexes reflect a reality-based international expenditure pattern. The cost of living index for each basket for London is only available using our online calculators.

The current overall cost of living rank (using all 13 baskets) for London is 17 out of 780 international locations covering every country in the world (rank 1 is most expensive: rank 780 is least expensive). The current cost of living rank for each basket is as follows:

Alcohol & Tobacco costs are very high compared to other places for items such as beer, spirits, wine and cigarettes. There are 150 places that are more expensive, and 629 places that are less expensive for alcohol and or tobacco.

Clothing costs are very high compared to other places for items such as business, casual and children's clothing and footwear. There are 127 places that are more expensive, and 652 places that are less expensive for clothing.

Communication costs are high compared to other places for various communication costs such as home telephone rental, internet subscription, mobile tariff and data costs. There are 295 places that are more expensive, and 484 places that are less expensive for communication.

Education costs are very high compared to other places for items such as creche / pre-school fees, primary school fees, high school fees and tertiary study fees. There are 19 places that are more expensive, and 760 places that are less expensive for education.

Furniture & Appliance costs are high compared to other places for items such as dining table and chairs, home entertainment, kitchen appliances, and sofa. There are 264 places that are more expensive, and 515 places that are less expensive for furniture and appliances.

Grocery costs are very high compared to other places for items such as consumables, cleaning products, dairy, fresh fruit & vegetables, general food products, snacks, soft drinks. There are 142 places that are more expensive, and 637 places that are less expensive for groceries.

Healthcare costs are very high compared to other places for doctor visit, hospital stay, non-prescription medicine, and medical insurance. There are 14 places that are more expensive, and 765 places that are less expensive for healthcare.

Household Accommodation costs are very high compared to other places for items such as apartment purchase, mortgage rate, rental, and utilities. There are 17 places that are more expensive, and 762 places that are less expensive for household accommodation.

Miscellaneous costs are very high compared to other places for items such as dry cleaning, linen, magazines, newspapers, office supplies, and postage stamps. There are 35 places that are more expensive, and 744 places that are less expensive for miscellaneous items.

Personal Care costs are very high compared to other places for items such as cosmetics, hair care, and toiletries. There are 26 places that are more expensive, and 753 places that are less expensive for personal care.

Recreation and Culture costs are very high compared to other places for items such as books, cinema, sport and theatre tickets. There are 109 places that are more expensive, and 670 places that are less expensive for recreation and culture.

Restaurants, Meals Out and Hotel costs are very high compared to other places for items such as hotel daily room rates, meals and beverages in restaurants, and take away food and beverages. There are 40 places that are more expensive, and 739 places that are less expensive for restaurants, meals out and hotels.

Transport costs are very high compared to other places for items such as fuel (petrol/gasoline), public transport, vehicle purchase and maintenance. There are 5 places that are more expensive, and 774 places that are less expensive for transport.

Hardship
Hardship in the context of an expatriate and their family refers to the degree of hardship they are likely to experience and the relative impact on their lifestyle in a host location. The degree of hardship correlates to the degree of difference between the home and host location. Hardship pay is compensation for the hardship likely to be endured during an international assignment in order to encourage people to move, in particular to less desirable locations.

Hardship factors include-:
Economic Factors: Such as poverty levels and level of service provision
Political Factors: Such as freedom/tolerance towards different points of view / lifestyle
Religious Factors: Such as freedom/tolerance towards different religions
Public Service Factors: Such as provision of water, electricity, sanitation, work permits etc
Environment/Climate Factors: Such as extreme weather
Personal Safety Factors: Such as personal safety / level of crime
Health Factors: Such as prevalence of disease and health standards
Education Factors: Such as education standards, prevalence of international schools
Transportation Factors: Such as prevalence of public transport, fuel and road safety.

The ratings for hardship are classified into four main groups and can be described as follows:
1) Minimal Hardship (10% Hardship Premium)
2) Some Hardship (20% Hardship Premium)
3) High degree of Hardship (30% Hardship Premium)
4) Extreme Hardship (40% Hardship Premium).

London is ranked as minimal hardship with a typical hardship premium of 10%.

Reference
The above information is updated quarterly using data collected over the previous 12 months. The international cost of living & hardship indexes are only available using our online expatriate calculators to enable users to create personalized cost of living comparison reports:

Salary Purchasing Power Parity Calculator
Cost of Living Index Calculator
Cost of Living Allowance Calculator

Published by Xpatulator.com on 1 April 2013.

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