Brussels climbs to 39th place on the list of most expensive cities for expats

Brussels has become a significantly more expensive city for foreign workers to live in. The Belgian capital rose 16 places on the annual list compiled by the HR firm Mercer and now ranks 39th. After one year, Hong Kong again takes the lead as the world's most expensive city for expats.

Among the reasons for Brussels' rise in the list are high inflation and the weakening of the euro against the dollar (the study takes the US city of New York as its reference), according to Mercer.

"The cost of living has become significantly more expensive for expats, and without an adjustment to the indexation of their compensation, this is at the expense of their purchasing power," it reads.

Foreign workers are usually reimbursed for the cost of living in the country where they live and work through their home country. The rise of teleworking and flexible working may also have an impact.

"Many employees have reconsidered their priorities, work-life balance and choice of where to live. Expats are more likely to reconsider whether it is still attractive to work in Brussels under these circumstances," says Mercer.

The fact that Brussels has become more expensive could also have an impact on its attractiveness. "In the long term, this increase in cost may cause a company to withdraw their international employees from Brussels and relocate them to less expensive cities," says Mercer.

For the fourth time in five years, Hong Kong is the most expensive city in the 227-city ranking. Last year, Ashgabat in Turkmenistan had taken that title. Four Swiss cities follow Hong Kong: Zurich, Geneva, Basel and Bern. The top ten is completed by Tel Aviv (Israel), New York City (United States), Singapore (Singapore), Tokyo (Japan) and Beijing (China). 

The "Cost of Living" index compares prices and services in cities, including housing, transport, food, clothing, household goods and entertainment.

(KOR)

© BELGA PHOTO DIRK WAEM - ERIC LALMAND