Europe - the cost of having the Euro

[clive francis]

I recently spent 2 months working in Italy and before we went they kept telling us it was 40% cheaper in Italy than the UK.

After the first week we questioned their logic as it did not appear to be cheaper, but again they insisted it was.

By the end of the 2nd month we had come to the conclusion that the management were living on or somewhere very near to cloud 9 as it was not 40% cheaper.

We said that meat (super markets) was more expensive in Italy than the UK.

"Arr, in Italy we don't eat a lot of meat, so yes it is more expensive, don't buy meat"

OK, but vegetables are more expensive as well

"Arr, there is a drout in Italy at the moment, so veg is a luxury, don't buy veg"

OK, but cans of coke are double the price

"Arr, they are non essential, so don't drink coke"

OK, so we can't eat meat and we can't eat veg, and we can't drink coke so what are we supposed to eat and drink?

"Pasta and water"

But bottles of water are twice the price as well!

We got no response to that, we then asked our HR back in the UK to get a cost of living comparison.

To our surprise it was 28% more expensive in Bologna than it was in Watford (this is easy comuting distance by train or tube into London - it is that close!)

Everyone we spoke to that was not part of our company told us that prices doubled over night and their salaries stayed the same when they switched to the Euro.

Several of my friends have been on holiday in Europe and they have said it is very similar where they went Greece and Spain.

After my stay in italy, I think that the UK is quite good value!!!

 

[6474286]

I unfortunately have to agree with you, I live in the Netherlands, and used to find my trips back to the UK extortionate a couple of years ago when we still used the Guilder.

After the transition to the Euro from the Guilder, the cost of living appeared to increase slightly, but only slightly. However because of the state of the worlds financial markets and the exchange rates between the UK pound and US Dollar, the Euro now appears to be basically the equivilant of what the Guilder could buy.

The conversion from Guilder to Euro was originally 2.2 Guilders = 1Euro.

On the bright side, buying dive kit from the UK has become a lot cheaper over the past year and the family vists no longer break the bank!

Paul

 

[String]

I was over in italy for the first week of transistion from lira - euro and a lot of people were complaining prices had all been rounded up. Greece and other countries i know of also complained.

In some places they took the direct Old currency=same number of euros which made some things twice as expensive.

Also of note ive got a friend that lives in italy and he says the general opinion was if theyd been asked to vote on it they would have rejected it.

At the moment im enjoying travelling abroad though as accomodation and things im finding far cheaper than the UK - example recent trip to Madrid a 4* hotel room was some E80 per night between 2 people - thats a lot cheaper than UK equivalent.
Drinks and so on also a lot cheaper.

 

[Arnaud]

Dear Islanders,

I am sorry you don't seem to like the Euro. Unfortunately, it's here to stay (on the mainland, that is). Yes, their were some pricing adjustments and they were not all welcome. But these have now been absorbed and the transition is over.

The annual inflation is rate stands at 1.9% in July showing a remarkable price stability. While the interest rates have remained historically low, the strength of the currency against the US $ is one more sign of confidence from the financial community.

My €0.02.

 

[dlegros]

Arnaud once bubbled...
Dear Islanders

Well, how delightfully, condescending.

Is Sweden an island as well? Or were you unaware that they had just voted against the Euro as you are not even on the 'mainland' (unless California has moved overnight).

:upset:

Dom (Islander and proud of it!)

 

[Arnaud]

dlegros once bubbled...


...Islander and proud of it!...

Hey Dom, each sovereign nation is entitled to decide whether they want to join or not. Island (such as Eire) or mainland. I just find it funny that the most vocal critics of the single currency are usually found in countries not part of the € zone.

Anyway, I'm sure you guys will jump on the bandwagon at some point, as most €pean reforms take about 7 or 8 years to be adopted by the UK.

As to Sweden, while technically not an island, I hear they often refer to the rest of €pe as "mainland"...

 

[ScubaRon]

At one point in my life I lived in Europe and was negotiating an assignment in the USA. Working with a firm that specializes in cost of living comparisons I was amazed to find out that at that time:
- it was 20% more expensive for a European to live in the US than in Europe;
- it was 20% more expensive for an American to live in Europe than in the US.

The explanation was indeed that people do not or only partially adjust their habits when abroad.

You experienced the same. If the Italians went to England they would consider the price of wine outrageous and the pizza a rip-off.
ScubaRon

 

[sheck33]

Arnaud once bubbled...


Hey Dom, each sovereign nation is entitled to decide whether they want to join or not. Island (such as Eire) or mainland. I just find it funny that the most vocal critics of the single currency are usually found in countries not part of the € zone.

Anyway, I'm sure you guys will jump on the bandwagon at some point, as most €pean reforms take about 7 or 8 years to be adopted by the UK.

As to Sweden, while technically not an island, I hear they often refer to the rest of €pe as "mainland"...

Sweden, Britain & Denmark ROCK! at least the people have a say in whether to adopt this stupid Euro or not. In the Netherlands the Euro was rammed down our throats, democracy my butt. If Europe thinks it is going to be united by forcing everybody to pay with the same dumb currency they are sadly mistaken. :upset:

 

[Jonathan]

it is out of touch HR departments around the world.

Every quarter we used to get our ex-pat allowance and every quarter we would complain that it had gone down. They gave us what was being used to calculate the package and over 60% was one off purchases like TV, car etc - which are cheaper out here.

But day-to-day stuff - no way! A loaf is not a loaf over here as you would expect back in blighty. You can pretty much only get the white stuff and it is over 1GBP for 6 slices. 1 pepper for my spag bog - 1GBP, the mince for it 4GBP. Don't even think about fruit.....

How do they compare recreational sports? The price of golf and tennis balls - they never find out the prices of a round of golf or a one hour tennis court.

Diving - well an average diving weekend icluding transport, accomodation and food. About GBP400

So what did I do? Doubly shafted I am now a local hire!!

Jonathan

 

[clive francis]

Arnaud once bubbled...
Dear Islanders,

I am sorry you don't seem to like the Euro. Unfortunately, it's here to stay (on the mainland, that is). Yes, their were some pricing adjustments and they were not all welcome. But these have now been absorbed and the transition is over.

The annual inflation is rate stands at 1.9% in July showing a remarkable price stability. While the interest rates have remained historically low, the strength of the currency against the US $ is one more sign of confidence from the financial community.

My €0.02.

are you taking the **** or just trying to wind people up, patronising idiot?

some pricing adjustments?

just about every country that took it increased their prices (in most doubled) and they got no salary increase!

and what country would that be that has a 1.9% rate?

France and Germany who set the rules for the Euro and done nothing but break them.

Italy is in recession as are a few of the others.