Singapore reigns supreme in global luxury consumption, according to a new report by Julius Baer Group Ltd

Singapore’s still got some big spenders.

The Southeast Asian island nation was named the world’s costliest city for luxury living for the third year in a row, according to an annual report by Swiss wealth manager Julius Baer Group Ltd., cited by Bloomberg. London came in at number two, followed by Hong Kong, Monaco, and Zurich. Shanghai topped the list in 2022, but fell to sixth place this year.

Julius Baer ranks 25 cities by analysing the cost of private school fees, residential property, cars, degustation dinners, and other luxuries in each destination. To get the data, the bank surveyed wealthy individuals with bankable household assets of US$1 million or more from February to March 2025.

For the first time since the survey’s inception in 2020, prices tracked by basket of luxury goods fell two per cent. Julius Baer said the drop was “quite exceptional” as high-end consumer prices have traditionally risen twice as fast as average consumer prices.

“In light of ongoing uncertainty, trade tensions, and tariffs, our findings represent the final moment ‘before’ the current situation,” Christian Gattiker, head of research at Julius Baer, told Bloomberg. Gattiker anticipates next year’s report “will likely provide a fascinating ‘after’ perspective.”

Singapore remains a hub of luxury, offering economic stability and security in challenging global times. Hotel prices in the city-state have risen 10.3 per cent this year, indicating a high demand for accommodation in the safe haven.

London ascended to second place after a 26.6 per cent surge in the price of private education and a 29.7 per cent increase in business class flights, according to Julius Baer.

Hong Kong remains the world’s third most expensive city for luxe spending, with a recent investment-for-residency program generating “significant interest” from wealthy individuals, the Swiss bank said. Interestingly, hotel prices in the metropolis dropped 26.1 per cent.

Julius Baer said that economic uncertainty, rising interest rates, and simmering geopolitical tensions are impacting the global luxury landscape. Still, some cities are gaining ground. Dubai, for instance, jumped five spots to claim seventh place, driven by an ongoing migration of global wealthy individuals since the Covid-19 pandemic.

Meanwhile, New York holds steady at number eight, the lone American city in the top 10. As for Latin America, Sao Paulo and Mexico City experienced the steepest declines, falling out of favor among the affluent elite.

Despite this downturn, one thing remains clear: Singapore reigns supreme as the globe’s centre for spending on luxury goods.

This story was first published on Robb Report USA. Featured photo by Suhaimi Abdullah/Getty Images