Australia’s Most Expensive Cities

Just released, Mercer’s 2008 Cost of Living Survey makes some interesting reading for those considering a move downunder, that is to Australia or New Zealand.

The Mercer’s survey looks at comparative costs for an expatriate moving to each of 150 world cities. The 2008 survey confirmed Moscow as the world’s most expensive city, the “winner” for three years in a row. Tokyo and London were second and third most expensive respectively The survey is still dominated by Asian and European cities in the top 10 spots but the Australia and Pacific region has been catching up - based, at least in part, on the weakening of the US dollar against most other major currencies.

Sydney is still the most expensive city in Australasia, according to Mercer, and has moved up six spots to 15th place. Comparatively other Australian cities have closed the gap. Melbourne is 36th place, jumping 28 places and Perth has jumped 31 places to reach position 84. Brisbane is at 57th place, up 29 places and Adelaide is 73th- up 23.

New Zealand’s cities remain the less costly option for expatriates, however, with Auckland in 78th place and Wellington in 93.

The survey is comparative based on New York City costs so the drop of the US$ against the Australian and New Zealand dollars has had a significant effect which may not be relevant for locals. The survey was conducted in March 2008 and reported the cost of 200 items such as housing, clothing and food in 143 cities on six continents. The survey only reflects costs not actual incomes in the cities involved either, or the availability of work. It is clear to see the effect of the mining boom on demand and therefore costs on cities such as Brisbane, Perth and to a lesser extent Adelaide.

Looking for a cheaper option? Asunción in Paraguay is the least expensive city in the ranking for the sixth year running.

Photo Credit: Luxury Paris Hotels