Living on a British pension in the Balearics comes at a price. | Majorca Daily Bulletin reporter

For many British expatriate pensioners living in the Balearics and across Spain, the fact that the sun shines most of the year is going to little comfort as they face a tough winter with the cost of living on the rise and the pound’s value against the euro weakening.

Spain has begun to temporarily subsidise fossil fuel plants’ power costs in a bid to bring down high prices in the short term.
The system is due to be in place until May 31, 2023.
It has also cut taxes to reduce consumer bills, and announced 16 billion euros in direct aid and soft loans to help companies and households weather energy prices but for Britons dependent on a UK pension, they are still going to feel out of pocket as the British economy continues to struggle.

And this comes at a time when over 10 percent of British people want to retire overseas with Spain ranked second, behind Croatia, as the best place to retire to.

However, apart from the complications of moving to Spain as a result of Brexit, people may be carefully looking at the costs of living when chasing a destination to retire to.

Spain may well feature high up the “wish list” but the Balearics is one of the most expensive places in Spain to live, so the mainland may prove more attractive offering more value for money.

Today, for example, the pound eased against the dollar and euro but steered clear of this week's two-week lows ahead of the end of the Bank of England's emergency debt support programme on Friday.

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The pound is down 0.14% against the euro at 87.545 pence.