Those of you living off UK pensions etc how are you coping at the moment? Is it really having an effect on your standard of living?

Just curious as we have been considering moving over to Spain but with the Euro/pound rate being poor at the moment we are having second thoughts

Your comments would be gratefully received

Losing a lot of money at the moment and no sign of it getting better. All the doom and gloom merchants are making it worse.

Not living off a pension, but things are getting very difficult with the exchange rate and forecast.

With UK inflation about to hit five per cent at year end, Next year the index link pensions will be very nice indeed that coupled with the weak Euro as the credit crunch hits hard in Spain. Don't you love that word of the year.... credit crunch... everyone uses it yet it doesn't really mean anything at all. Those with UK based pensions should be better off. Just remember those belt tightening
aspects of your budget now in place, Why not try to keep them and be wiser with your cash.

Hope you are right Posh.

Our monthly income has been down by about 150 euros for the last 9 months or so, and this is making life very difficult for us.

Our pension may have increased last year by 3.9% in line with the relevant index, but by the time we receive it in Euros it is far less.

Out of interest, how do you get your UK pension in Spain? Is it paid into a UK bank account as normal, then you use your UK ATM card to withdraw in Euros from an ATM in Spain?

We have both Kaths pensions converted at source and paid into our Spanish account.

Her Teachers pension is converted by Bank of New York and they are within a whisker of the full commercial posted rate every month (the pension provider chose BoNY by tender I think). For this service we pay a £1.

The State Pension is converted at source and paid direct same sort of rate and as far as I can see no charge.

Is it two words? or "CreditCrunch"

Seems like you've got it sussed! Good for you.

Hi,
yes we have found a difference since last year.
For the amount that we bring over via pension, our living costs here have risen and we are finding a difference of about 200€ per month.

requires more budgeting and less eating/drinking out. it is cheaper to have friends round to enjoy bottle of wine at 2€ a bottle instead of paying 6€ upwards in a restaurant.

The State Pension conversion is available to anyone receiving the SP and I think other benefits that can be paid in Spain. Most of the Public sector "club" pensions such as military, civil service local government, teachers and though they are not quite the same NHS pensions can be paid direct after conversion into a Spanish account.

Mine is a Local government pension so I reckon I can get mine converted too....interesting

You will have to approach your pension providor but most LA pension authorities do.

I get an NHS pension and wife gets state pension, both paid direct into Spanish account, when I become eligible for state pension that will also be paid direct into Spanish acount.