Singapore remains the world’s most expensive city to live with sky-high prices for clothes, cars and public transport, according to an annual survey which ranks the largest cities on the planet. It was followed by Paris, Oslo, Zurich and Sydney in The Economist Intelligence Unit’s worldwide cost of living survey. London, in 11th place, is now as pricy as Tokyo, which was the world’s most expensive city until it was unseated by Singapore last year, while New York ranked as the most expensive American city in 22nd spot. Scroll down for video . The Economist Intelligence Unit has named Singapore as the world's most expensive city . Basic groceries in Singapore cost 11 per cent more than in New York, according to the annual study . Melbourne, Geneva, Copenhagen, Hong Kong and Seoul rounded out the top 10 in the study, which compared prices in more than 130 cities using New York as a base for comparison. The top five is unchanged from last year’s study, while European cities hold five spots in this year’s top 10. However, the unpegging of the Swiss franc from the euro means that Zurich and Geneva would rank first and second, respectively, at today’s exchange rates. London ranked eighth overall in Europe, while Manchester was 22nd. London ranked 11th in the study, which was based on prices for things such as transport, food and clothes . Source: The Economist Intelligence Unit . The report found that the gap is growing in Western Europe between top-ranked cities and those with struggling Eurozone economies. For example, Paris has a cost of living that is 26 per cent higher than in New York, but the cost of living in Lisbon and Athens is 26 per cent lower than that of the Big Apple, said the report. The chasm is even greater in Central and Eastern Europe. Kiev, for example, was dropped 38 places amid the ongoing conflict in eastern Ukraine. Given the slide in the Russian rouble, Moscow and St Petersburg would rank in the bottom ten under current exchange rates. Ten years ago Sydney and Melbourne were both cheaper than New York, a long-term rise in the relative cost of living in Australia, driven by the strength of the country’s dollar, has pushed them up the list. Sydney (pictured) and Melbourne have climbed the list thanks to the strength of Australia's dollar . A stronger dollar and localised inflation means New York, which jumped four places, is getting even pricier . Asia has seen a marked increase in the cost of living in the last 12 months, although Japanese cities have dropped in the ranking thanks to deflation and a devaluation of the yen. Tokyo now sits in 11th place, tied with London. In America, a stronger dollar and localised inflation means New York, which jumped four places, is getting even pricier. According to the study, the cheapest cities are found in the Asian subcontinent, Northern Africa or South America, although some are experiencing significant political or economic problems, meaning there is an element of risk. The Economist ranked Karachi, Pakistan as the best value for money, followed by Bangalore, India . It ranked Karachi, Pakistan as the best value for money, followed by Bangalore, India and Caracas, Venezuela, where the economy is spiralling and people face shortages of basic goods. Source: The Economist Intelligence Unit . Caracas ranked sixth overall last year, but it has dropped 124 places given the state of its shrinking economy. India had three other cities in the top six cheapest cities – Mumbai (fourth), Chennai (fifth) and New Delhi (sixth). The study compares prices in shops for more than 160 basic goods and services, including food, toiletries, clothing, domestic help, utility bills, cigarettes and wine. The report’s editor, Jon Copestake, said in a statement: ‘The situation of an unchanged top five is very rare for the worldwide cost of living survey and disguises some significant global drivers that are impacting on the cost of living everywhere. ‘In fact, a look at the data six months ago would have shown a different top five, and things are changing quickly. Rebasing the survey to today's exchange rates would put Zurich top, highlighting how fluid the global cost of living has become.'
Singapore has sky-high prices for clothes, public transport and new cars . It was followed by Paris, Oslo, Zurich and Sydney in the study . London and Tokyo tied for 11th place, while New York ranked 22nd . Karachi, Pakistan and Bangalore, India named world's cheapest cities . Caracas fell 124 places given the state of Venezuela's shrinking economy .