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Geneva Loses Its Charms As Canton - Credit Suisse
Geneva is the least financially appealing canton for residents in Switzerland, despite having had the strongest growth of employment in the western part of the country in the past 15 years, according to a study by Credit Suisse.
Some of the highest tax burdens and living costs in the country caused Geneva to finish last when the regional disposable income, an indicator of the financial attractiveness of the districts, was measured. The measurement shows how much money households have left after mandatory charges.
Fixed expenses such as housing, insurances and energy costs are higher in Geneva than the Swiss average. Health insurance is compulsory in Switzerland and will take you back roughly SFr1,000 (about $1,200) a month for a family of four.
Despite this, employment grew by 21 per cent between 1995 and 2008 in Geneva, compared to a ten per cent increase in the country as a whole.
Credit Suisse’s more general locational quality indicator places Geneva at a more flattering fourth place. The availability of a highly-skilled workforce and good transport links makes it one of the most attractive cantons to live in. Other alluring factors which are not included are the scenic appeal of the region, its cosmopolitan character and proximity to the French border.
The flipside to its attractiveness are high property prices, which continued to rise when most of the West experienced a slump in recent years. Rents are also high: this publication reported last year that a four-bedroom house with garden in Geneva costs over SFr10,000 a month.
The property prices coupled with the heavy taxation are thought to explain the increasing migration to other cantons and to neighbouring France. However, the city has had a population growth above average in the past decade thanks to international immigration.
Geneva is the second biggest financial centre in Switzerland after Zurich, where Credit Suisse has its headquarters. Zurich finished second according to the general locational criterion, but only 22nd in terms of regional disposable income.
