Make sure that your file has a UTF-8 BOM (in Lazarus right click the text editor, then File Settings -> Encoding -> UTF-8 with BOM and then select the Change File option in the dialog), then the compiler will handle this correctly. Alternatively you can add {$codepage utf8} at the top. Without either of this the compiler will see a such a character as a 2 Byte sequence which is longer than a single character which still is AnsiChar no matter what it's assigned to.