Shoppers are paying a premium

Prices in the UAE of consumer goods, from cosmetics to electronics, are among the highest in the world, an investigation by The National has found.

A survey of major cities reveals that shoppers in this country frequently pay significantly more than their counterparts in London, New York, Paris and Hong Kong.

The higher prices are even more striking because shopping in Abu Dhabi and Dubai is tax free – unlike in Europe, which imposes value added tax of between 15 and 25 per cent, and New York, with a sales tax of 8.5 per cent.