'Nearest meetups' ignores where your location is set to, and tries to work it out from your IP address. (Source, my location is set to London.) Perhaps your IP address is misleading about that?

Two sites that try to work out your location from your IP:

http://www.geobytes.com/IpLocator.htm?GetLocation (says I'm in Budapest)

http://www.ip-adress.com/ (says I'm in London)

I'm not sure what system LW uses for this, right now it gives me "upcoming" instead of "nearest".

(Edit: now that I'm at home instead of work, these respectively say London and Glasgow, and I have "nearest meetups" back.)