Switzerland and Australia Shine as Liveability Leaders
Though some methodological doubts must remain if Adelaide can rank above Perth?
When five of the world’s top ten most liveable cities hail from just two countries, you know there’s something special brewing. The 2025 Global Liveability Index has once again demonstrated why Switzerland and Australia are the undisputed champions of quality living.
The latest Economist Intelligence Unit Global Liveability Index reads like a Swiss-Australian love letter to urban excellence. With Zurich and Geneva claiming 2nd and 5th positions respectively, and Melbourne, Sydney, and Adelaide securing 4th, 6th, and 9th places, these two nations have effectively cornered half the market on global liveability supremacy.
The Perfect Storm of Excellence
What makes these cities so irresistibly liveable? The answer lies in their consistent excellence across all five key measurement categories: stability, healthcare, culture and environment, education, and infrastructure.
Swiss cities demonstrate why precision extends beyond watchmaking. Both Zurich and Geneva achieved perfect scores in healthcare and education, while maintaining near-perfect marks in infrastructure. Switzerland’s federal structure, with its 26 cantons operating semi-autonomously, creates a laboratory for democratic innovation. As one Swiss resident notes, “We practice direct democracy where every citizen gets a vote on laws and referendums” – a system that ensures tax dollars are spent exactly where communities want them - supposedly!
Australian cities showcase the benefits of geographic advantage combined with smart governance. Melbourne, Sydney, and Adelaide all scored perfect 100s in healthcare, education, and infrastructure. Australia’s cities benefit from vast natural spaces, excellent universities, and healthcare systems that consistently rank among the world’s best. The Australian approach to urban planning, with its emphasis on green spaces and coastal access, creates cities that feel liveable at a human scale.
The Commonalities That Count
Despite being separated by 16,000 kilometers, Switzerland and Australia share remarkable similarities that translate into urban excellence:
Political Stability: Both nations enjoy robust democratic institutions and peaceful transitions of power. This stability provides the foundation for long-term urban planning and infrastructure investment.
Healthcare Excellence: Universal healthcare systems ensure residents can access quality medical care without financial stress. Swiss healthcare, while expensive, delivers exceptional outcomes, while Australia’s Medicare system provides comprehensive coverage for all residents.
Education Investment: Both countries prioritize education, from primary school through university level. This investment creates educated workforces and culturally rich communities that enhance urban life.
Infrastructure Focus: Whether it’s Switzerland’s precision engineering approach to public transport or Australia’s investment in modern urban infrastructure, both countries understand that great cities require great bones.
Where They Diverge: The Financial Landscape
While both countries excel at liveability, their financial systems reveal fascinating differences – particularly relevant for those considering cross-border living or investment:
Interest Rate Environments: The contrast couldn’t be starker. Switzerland’s central bank has cut rates to 0% in 2025, responding to deflationary pressures and a strong Swiss franc. Meanwhile, Australia’s RBA maintains a cash rate of 4.35%, though cuts to around 3.35% are expected by year-end as inflation moderates.
Tax Structures: Switzerland operates a unique three-tiered system (federal, cantonal, and municipal), creating dramatic variations in tax burden. The canton of Zug offers rates around 22.2%, while Bern imposes rates exceeding 41%. Australia’s centralized federal system provides more predictability, with a top marginal rate of 45% compared to Switzerland’s maximum of 40%.
Banking Systems: Switzerland’s investment banking focus contrasts with Australia’s retail-dominated “Big Four” banks. This difference became apparent during the Credit Suisse crisis – Australian bank hybrids convert to equity during stress, while Swiss equivalents can be written to zero.
A Tale of Two Rankings (And My Wounded Perth Pride)
Now, let me address the elephant in the room – or rather, the Adelaide-shaped thorn in my side. As a proud Sandgroper, I must confess to experiencing a touch of geographical chagrin upon discovering that Adelaide claimed 9th place while my beloved Perth languished at 15th.
How does this happen? Adelaide shares identical scores with Melbourne and Sydney across stability, healthcare, education, and infrastructure, differing only in “culture and environment” where it scored a respectable 91.4. Meanwhile, Perth’s 15th place ranking suggests our isolation and smaller cultural scene cost us valuable points.
Whatever – despite having good friends and clients in Adelaide, you can’t convince me it’s better than Perth!
The Expert Advantage
Understanding these nuances between Swiss and Australian systems isn’t just academic – it’s essential for anyone whose life touches both countries. Whether you’re an Australian expat in Switzerland navigating the cantonal tax maze, or planning a move from Sydney to Geneva, the complexities require specialized knowledge.
The convergence of Swiss precision and Australian pragmatism in these liveability rankings isn’t coincidental – it reflects fundamental approaches to governance, planning, and community building that create cities where people genuinely want to live.
As we look toward 2026, one thing is certain: Switzerland and Australia have cracked the code on urban excellence. The question isn’t whether they’ll dominate next year’s rankings – it’s whether Perth can finally give Adelaide a run for its money.