Paphos Life

Just noticed that the pound has now dropped to 1.086 against the euro.I wonder how many people whose income is from the UK are now going to manage as just worked out that had we stayed in Cyprus we would now have been €400 pcm worse off than when it was at 1.30!! We managed before when it dropped for a short time but if this decine continues how many people are going to think of returning? Many Brits in Cyprus are on limited incomes and I know many who said they would have to return should the pound weaken but maybe cannot sell their properties or cannot even afford to transport their belongings or their pets. A difficult time for many I fear.

It is the lowest for some years, and is definitely hitting those whose income comes from the UK. I think those who own their property should by and large be OK, as long as they are sensible about their outgoings and review exactly what they are spending their money on. For example, do they really need a pool man instead of doing it themselves? Could they buy a bucket and sponge instead of using the car wash? etc etc. The people with the biggest problem are those who rent as what is an effective increase in rent can eat into income very quickly.

Drop expected and will continue until early spring 2018 , parity expected by Xmas. Should bounce back next year. All to do with the UK poor economic results this week.

Is now the time to send some saving TO the UK in the hopes that next year we will get a better return if we bring the money back

Oh Trev that is a question that no one can answer!! Obviously transferring funds back to the UK will get you a good rate but who knows what would happen should you need it back again! There are quite good rates of interest to be had here but the best rates seem to be if you guarantee a regular income paid in and guarantee at least a couple of DD's which would probably be no good for you?
I am getting 2% on some funds and 3% on others . That is with Lloyds but there is also a good rate with a fixed term with NS&I but only on a max of 5k I think. We also bought some Premium Bonds and todate have won approx what we might have received in interest in a savings scheme - that might be of interest to you?

HIC - I think it was a bit more than a year ago when it was hitting 1.40. This time last year it was 1.16!!

I think we are getting 0.25% and of course can't open a new UK bank account.

It was just a thought that crossed my mind

It is great for me, but not so great for my customers. Even converting via paypal to GDP it is good for me.
The 1.40 was a peak somewhere, but I usually work on 1.20 - in fact some of my customers paying by standing order to the UK account are still getting their original rates, even if it was 1.40 (not many though, most are about 1.20, so they are gaining)

I really do not worry about a few cents either way on €25 per month. but I do appreciate that with larger transfers it does make a huge difference.

I do not think it has anything to do with "B*exit" it has not happened yet! there are loads of other variables in the equation, after all a few years ago it almost reached parity, well before the referendum and even any thoughts of an exit. I need to send GBP each month, so I am Happy in Cyprus (sorry HIC)!

Digby

There are many expats with children attending U.K. university's....sending cash back to them every month, great news for them, so not everyone's upset at the low rate of sterling.

Many Expats with children at University WHL? I don't think so although there are of course many Cypriots with children in UK universities so it is obviously good for them.

Not all expats are retired ...might be in the west but in the east there are many with school children.

Our child is in Year 8 at the ISOP. Not all expats in the west are retired either. I guess it is easy for the retired not to be aware of the younger families, but they are most certainly around.

Of course I know there are some young families like yourself Dominic but just how many do you know whose children are at a UK Uni? I think many people with older children realise that there is little career opportunities for their children in Cyprus and tend to return to the UK at that stage in their lives.

Agree in one respect, Poppy. My Daughter and S-i-L relocated from their dream Gité in southern France back to UK a year or so ago, just to put my 16 year old grandaughter through a college year of A level French and Spanish (both of which she is fluent in).

Bingo! She passed with flying colours and starts Cardiff University next month, for her Degree course. So proud of her...

In Cyprus, I seem to remember most of the clever students going to Athens or Thessaloniki Unis to get their degrees. There were surely good jobs awaiting them, upon their return?

Cheers- AL

josef k wrote: ↑Wed Aug 23, 2017 4:23 pm The people with the biggest problem are those who rent as what is an effective increase in rent can eat into income very quickly.

We rent , our plan has always been if money got tight we would move to a property with lower rent , there are plenty of rentals available in Cyprus . Fortunately my state pension is due in May next year , so we will survive without needing to move .

I agree with your other comments re tightening ones belt . Beans on toast every day now till May .

Even renting has it's compensations. We rent a 12 year old house here and like all older houses especially here in Cyprus thing are going wrong. A new pool liner, landlord paid, new washing machine, landlord paid, new immersion heater on the roof, landlord paid. The list goes on.
With all our pensions in sterling any large purchases we make now are done online and shipped from the UK and the same with clothes.
Like 2009/10 we are cutting back on eating out and entertain more at home but hey a volatile pound is something we have lived with since the 1960s when we could take £5 a year out of the country ! Dear old Harold Wilson with his pound in your pocket speech.
Cheers

Mike

Mike J wrote: ↑Thu Aug 24, 2017 12:22 pm Even renting has it's compensations. We rent a 12 year old house here and like all older houses especially here in Cyprus thing are going wrong. A new pool liner, landlord paid, new washing machine, landlord paid, new immersion heater on the roof, landlord paid. The list goes on.
With all our pensions in sterling any large purchases we make now are done online and shipped from the UK and the same with clothes.
Like 2009/10 we are cutting back on eating out and entertain more at home but hey a volatile pound is something we have lived with since the 1960s when we could take £5 a year out of the country ! Dear old Harold Wilson with his pound in your pocket speech.
Cheers

Mike

Was it not £25 Mike? - I certainly remember being allowed that amount - happy days!!!

Rita