Singapore named world's most expensive city for the rich, beating Hong Kong, London

The city-state topped the list for the prices of cars and women's handbags, placed second for women's shoes and third for both residential property and healthcare, according to the Global Wealth and Lifestyle Report 2025 released last Thursday by Swiss bank Julius Baer.

Compared to a year ago, Singapore saw the steepest price hike in business-class airfares, which rose 17%. Bicycle prices and private school fees followed with increases of 15.6% and 12.1%, respectively, as reported by the South China Morning Post.

Nonetheless, it continues to be a highly liveable city that appeals to global businesses and HNWIs, people with bankable household assets of US$1 million and above.

"With the current unpredictable nature of the world, Singapore is valued for its stability, security and connection to Asia and beyond," the report said.

To produce the ranking, Julius Baer analyzed a basket of 20 goods and services across 25 global cities. These items represent discretionary purchases of HNWIs, including cars, watches, handbags, as well as services such as healthcare and private education, according to Bloomberg.

The bank also surveyed HNWIs between February and March 2025 to better understand their spending patterns, lifestyle choices and financial situations.

London came in second while Hong Kong ranked third, trading positions from the previous year's report.

Hong Kong had the highest legal fees among the featured cities while London stood out as the most expensive place for LASIK eye surgery, private education, and MBA programs.

Globally, the cost of luxury living, represented by the basket of goods and services, slid by 2% over the past year when measured in U.S. dollars, a reversal from the 4% rise seen in 2024 and the 6% surge in 2023.

"The considerable overall drop reflects a weakening demand for luxury goods, as consumers change their spending priorities away from material goods and towards experiences," the report said.

In Asia-Pacific, HNWIs saw sharper increases in lifestyle-related expenses compared to elsewhere. The region led global price gains in women's luxury clothes, high-end hotels and fine dining, the Business Times reported.

The region's biggest price increases were in business-class airfares and luxury watches, which rose by 12.6% and 9%, respectively.