UAE Falls Out of Favour with Expats

The UAE has fallen from 6th to 10th position in the latest Natwest International Personal Banking Quality of Life Index for expats. The fall coincides with increasing concern over the economy and employment. The IMF downgraded its forecast for the UAE’s economic growth to near zero in January 2010 as Dubai World’s debt restructuring and the emirate’s property sector continue to drag on the national economy. The IMF confirmed that the UAE economy contracted by 0.7 per cent in 2009 largely due to declining oil production.

Up from 3rd position in 2009 and knocking New Zealand off the number one slot, Australia topped this year’s Index with the land of sun, sea and sand judged to have the ingredients for a happier and healthier life, with the majority (78%) of expats citing the better environment and quality of life for their children as the number one reason for being there.  

British expats represent 15.3% of the overseas born expatriates in Australia with Perth coming out as one of the most popular areas in which to live. It has a population of around 1.5 million, of which 12.5 per cent is made up of British expats. Brisbane has recently overtaken Perth as the most popular migration destination in Australia and has the fastest-growing population of all Australian cities. ‘Greater Brisbane’ has a population of about 1.5 million of which 10.4 per cent are British expats.

While salaries may be lower, Australia gained a high score for financial confidence. Buying property is something that expats in Australia find attractive and easy. Australia is considered to be one of the best places in the world to manage finances and the majority (69%) own a property here (compared to the global expat average of 31%). While the majority of people say that the improved quality of life is their main motivation for being there, the lower cost of living is a factor too. The cost of living in Australia is approximately one third cheaper than the UK.

Australia gained high scores across all key life experience factors but particularly in regard to education and healthcare where it topped the rankings. The Australian education system is recognised as one of the best in the world. University tuition fees compare better than most other countries being more affordable than in the UK, USA or Canada. Australia has the third largest number of international students in the English-speaking world.

Australia also has one of the best health care systems in the world in terms of patient safety, efficiency and equity. Australians are living longer, more people are surviving cancer, and fewer people are dying from heart disease. Life expectancy is 81 years old for males and 83 years old for females in 2008. This is one of the highest among the developed nations.

The US moved from ninth in the Index rankings for 2009 to fifth position while UAE moved downwards from sixth position in 2009 to tenth in 2010. The US’s significant move up the rankings can be attributed to higher scorings on both security and financial confidence. There is an increased level of optimism indicating that ‘change has come to America’ which could be attributed to The Obama Effect, according to the Centre for Future Studies, which helped compile the research.

In terms of jobs, the majority of economically active respondents (71%) are in professional/managerial occupations; 17% are self employed professionals; 22% are in clerical positions.

Commenting on the findings, David Isley, head of NatWest International Personal Banking said: “British expats are heading abroad in search of a better life, with Australia topping the pole as the most popular destination. And although financial stability plays its part, the report reveals that quality of life for expats living in Australia is determined by far more than money alone – healthcare, the environment, education and a lifestyle conducive for their children are all more important.

“British expats can make their move abroad a little easier by getting their banking needs addressed before they leave the UK – that way they can start their new lives abroad on the best foot.” 

The ‘Quality of Life’ study was carried out for NatWest International Personal Banking by the Centre for Future Studies between October and November 2009.

For further information on NatWest International Personal Banking facilities visit: http://www.natwestinternational.com