Expatitis: noun a disease which manifests itself in British expatriates whereby the individual sufferer’s lifestyle expands to fill their means leading to poor financial planning – particularly common in Spain, amongst men and those in their late 40s.

Research published by leading offshore savings bank, Alliance & Leicester International Limited (ALIL), reveals that three out of 10 expatriates haven’t increased the amount they save now that they live abroad, and one in eight don’t save at all. This is despite the reduced cost of living, beneficial taxation and enhanced incomes often enjoyed by expatriates.

ALIL believes this represents a significant business opportunity for international financial planners who can promote savings accounts to their clients.

Men more susceptible than women
Men are more likely to suffer from ‘expatitis’ than women – with 33 per cent saying they haven’t managed to increase the amount they save now that they live abroad. By comparison only 25 per cent of female expatriates admit to not making the most of the financial benefits of living abroad, by putting more money away for the future. Also – one in six male expatriates don’t save any money compared to just one in 10 women.

Expatriates in their late 40s also more likely to suffer
Those most likely to suffer from ‘expatitis’ are in their late 40s and early 50s – where 42 per cent say that since living abroad they haven’t been able to increase the amount they save and indeed a further 25 per cent don’t save at all. Those most immune to poor financial planning are expatriates under 45, where only a quarter say they haven’t been able to put more money away now they are living abroad and only one in 10 say they don’t save at all.

Expatriates living in Spain find saving hard
UK expatriates in sunny Spain are finding the Costas are costing a lot more money than they thought. The expatriate lifestyle in Spain means that, despite lower living costs, only six out of 10 say they have increased their savings since leaving the UK – compared to eight of 10 expatriates in Germany. Indeed one in eight expatriates living in Spain do not save anything, compared to only one in 16 of those UK citizens living in Belgium.

Simon Hull, Managing Director of Alliance & Leicester International Limited commented: "This research shows that whilst many expatriates find a lower cost of living, beneficial taxation and increased income by living abroad, this does not mean that they can increase the amount of money they put away for their future, in fact a significant number struggle. The good news is that this ‘expatitis’ is curable and financial advisers have a crucial role to play in persuading sufferers to curb their extravagance and save for their future."