Expats feel the squeeze overseas

Nine out of ten (88%) expats have seen an increase in the amount that they are paying for food and over half (52%) have noticed an increase in price of 10% or more

HALIFAX International's new Expat Mood Monitor produced its first survey results this week and expats are under ecomomic pressure.

According to the survey, since January 2008, over half (52%) of expats have noticed a decrease in their disposable income (with 44% noticing a decrease of 10% or more), and almost two-thirds (62%) have seen a decrease in their overall investment portfolios.

And yet 63% of expats believe that the economic situation where they reside is better than in the UK. In addition, they say property abroad has suffered less than in the UK. One third of expats (33%) state the value of their property overseas has remained the same since January 2008 and of those renting, over half (54%) report no change in their payments.

However, almost nine out of ten (88%) expats have seen an increase in the amount that they are paying for food and over half (52%) have noticed an increase in price of 10% or more. But with the recent fall in the value of the pound, one in four expats also noticed a 10% increase in their buying power when converting currency to sterling to visiti the UK.

Commenting on the research, James Gairdner, Managing Director of Halifax International states, "These figures demonstrate that it is now more important than ever that expatriates are not only provided with more competitive, available and secure saving options, but also have access to the right financial advice when they are overseas. This will enable them to make the most of their investments."