Luxembourg City has unfortunately climbed the regional rankings by one place this year – to 24th position of most expensive cities in the region.
But has fallen in the global rankings by nine places. It now occupies 131st place.
The relative decline of the euro between surveys has seen most Eurozone locations fall in the global rankings with destinations in Luxembourg, France, Netherlands, Spain and Germany among those falling in the past year.
James Davis, PR spokesperson of ECA, said: “Prices have risen slightly in Luxembourg since our last survey. Therefore, in local currency terms expatriates in Luxembourg City will clearly have felt a marginal increase in their cost of living in the past twelve months. However, as the euro depreciated against some currencies over the course of the last year, this has made the cost of living cheaper relative to several other locations than it was a year ago.”
Over a five-year period, the strengthening of the US dollar against the euro has seen 27 US cities climb above Luxembourg City – Since 2012, Luxembourg has fallen by 48 places in the global rankings.
“Much of Luxembourg’s movement in the rankings over the past five years has been strongly influenced by currency movements, with Luxembourg City falling out of the global top 100 (83rd globally in 2012) on account of depreciation of its currency,” said Davis.
Four Swiss cities occupy the top spots in the regional ranking, followed by seven Scandinavian cities.
London has fallen behind Luxembourg city to 25th place in the regional ranking and to 132rd place in the global ranking because of the depreciation of the British Pound.