Skilled trade workers emigrate from the UK

HiFX urges those with plans to move abroad not to forget that currency fluctuations can have huge impact on future wealth.

Research from currency specialist HiFX echoes the findings of the IPPR report released yesterday, which put the total number of Brits living abroad at 5.5 million. With the IPPR report citing the main reason for permanently emigrating as being for professional or educational opportunities, recent research by HiFX revealed that it is Britain’s vital tradesmen and women who are leaving the country in droves.

Over half (51%) of Brits emigrating are classified as working in skilled trade occupations. Plumbers and gas fitters are most likely to use their trade to escape the UK, hotly followed by carpenters and joiners, reveals HiFX, who help 7000 people emigrate each year. Skilled trade occupations include electricians, mechanics, bricklayers and chefs all of whom feature in HiFX’s top ten professions to emigrate. This mass exodus of skilled workers could have a huge impact on those of us left in the UK, with 1.37 million tradesmen predicted to have emigrated by 2016.

Mark Bodega, Marketing Director for HiFX, the currency specialists comments: “Australia, New Zealand and Canada, all of which feature in the top ten places for Brits to emigrate to, are facing a shortage of home grown skilled workers so they are marketing themselves as attractive propositions to UK workers who may be looking for a better work/life balance for their family or simply just sunnier climes.”

The IPPR report attributes a strong economy to the large numbers of Brits choosing to start a new life abroad and analysis from HiFX of the Sterling’s performance against the currencies across the main emigrations destinations most favoured by Brits has found that the Sterling has appreciated in value across all of the top ten.

This means that people who are planning to move abroad whether in the next six months, or in two years time and who will be transferring all their UK wealth in the process, should consider taking out a ‘forward contract’. In essence this means people can buy their currency as soon as they start the emigration process and pay for it later (once they have sold their UK house for example). By doing this consumers are completely protected from exchange rate movements as they have ‘locked in’ the exchange rate at the time of setting the contract.

On average, a UK family emigrates abroad with assets of £250,000 from the sale of a house, car and some savings. While they carefully plan their new lives in minute detail, what many overlook is the potential cost of leaving their currency exchange in the wrong hands. By transferring their worldly goods to their new country via a high street bank, the average family risks losing up to a staggering £10,000 of their assets. According to research from HiFX, banks typically charge 4% more than currency specialists in unfavourable exchange rates.

Bodega continues, “Making thedecision to move to a new country is a big undertaking, both emotionally and financially. The last thing that any family taking the leap would want to do is unnecessarily lose as much as £10,000 in the process. Unfortunately though, this is exactly the case for the many people who entrust the transfer of their assets from old to new country to their regular high street bank. This huge loss could be avoided simply by people being aware of the alternatives and making sure they get the best rate for their money, early on in the process.”

Mark Bodega added: “The earlier you begin thinking about your currency requirements, the more likely you will be able to start your new life with as much money as possible. The majority of people emigrating from the UK are not millionaires jetting off to a luxury island, but everyday people who are likely to be most affected by banks charging over the odds for currency exchange and losses through currency fluctuation when transferring their worldly goods overseas.”

For Brits who live overseas or go abroad for long periods of time, HiFX has a regular payments plan allowing them to manage regular currency payments such as pensions, salary and mortgage transfers and because HiFX do not charge to send money overseas and have eliminated all receiving charges, they save their customers up to £300 each year.