Call us today: +44 (0) 20 3551 6634
Expatriates from Britain living in Europe have found that their pensions are worth eight per cent less due to the state of the pound.
Analysis carried out by the deVere Group shows that a basic state pension that was worth €577.37 (£495) a month in January is now worth €530.81.
At the pound's highest rate against the euro back in 2008, it was worth €597.41.
Nigel Green, deVere Group chief executive, said: "More than a million Britons who live abroad, receive the state pension and these people – unless they've set up a system to transfer their pension at a fixed exchange rate every month – will be worse off each month because of the weakening pound."
He went on to say that the pound has now hit a 16 month low against the majority of the largest currencies and dropped eight per cent against the euro since the beginning of 2013.
Mr Green said: "Naturally, Britons living in Europe and receiving a fixed income through their pension are particularly adversely affected by this."
The chances of the Bank of England and the government pushing the pound higher are very slim and without that assistance it is unlikely to rise in the near future.
If the pound were to fall to €1.11, which is feared by many, then expats receiving the state pension would lose out on €60.46 a month, a total of €725.52 over the course of the whole year.
Anyone living abroad on the state pension is advised to speak with a financial advisor about the best ways to mitigate the effects of a depreciating pound.
Otherwise expats will need to tighten their belts and cut back on luxuries in order to make their pensions go further.
Anyone heading out to visit expats abroad will also need to shop around to get the best deals on foreign currency as the problem extends to holidaymakers too.
Expatriate Healthcare specialise in providing international health insurance. Make sure you're protected. © Expatriate Healthcare
Expatriate Group.Delmon House,36-38 Church Road,Burgess Hill,West Sussex,RH15 9AE
Registered Address.35 Ballards Lane,London,N3 1XW
Tel: +44 (0)20 3551 6634Fax: +44 (0)870 428 5141Email: firstname.lastname@example.org
Short Term Healthcare Insurance
Travel Medical Insurance One Way Travel Insurance Single Trip Travel Insurance Annual Multi-Trip Travel Insurance Non UK Resident Travel Insurance Business Travel Insurance
About Us Useful Links Leave a Review Our Awards The Press Room Satisfaction Survey Downloads Legal Notice Underwriters Hospital List
Emergency Assistance information Short-Term Healthcare Working Abroad Insurance Thailand Health Insurance
Register as an Intermediary Opportunities for Brokers
Expatriate Group & Expatriate Healthcare are trading styles of Strategic Insurance Services Limited who is authorised and regulated by the Financial Conduct Authority (FCA). FCA Firm reference Number is 307133. Strategic Insurance Services Limited is authorised to carry on Regulated Activities in accordance with the permissions granted by the FCA under PART IV of the Financial Services and Markets ACT 2000.