Key Findings
- Edinburgh has retained 2nd place among UK cities for investment attractiveness (behind London) with an overall score of 52.0. (Edinburgh Chamber of Commerce)
- Glasgow has risen two places to reach 7th place, scoring 44.9 overall — an increase of 3.4 points since the previous edition. (Edinburgh Chamber of Commerce)
- The index is produced by Wright, Johnston & Mackenzie (WJM) together with law-firm Irwin Mitchell, in partnership with the economics-research group Centre for Economics & Business Research (Cebr). (Wright, Johnston & Mackenzie LLP)
- 48 UK cities were compared across three major “pillars” of attractiveness:
- Growth Potential
- Local Skills
- Local Infrastructure
(Glasgow Chamber of Commerce : home)
Here are the detailed scores for the two cities (and top few) in Q3 2025:
| City | Growth Potential | Local Skills | Local Infrastructure | Overall Score |
|---|---|---|---|---|
| London | 56.7 | 111.9 | 61.5 | 76.7 (Edinburgh Chamber of Commerce) |
| Edinburgh | 49.8 | 42.0 | 64.1 | 52.0 (Edinburgh Chamber of Commerce) |
| Oxford | 40.9 | 39.5 | 71.8 | 50.7 (Edinburgh Chamber of Commerce) |
| Birmingham | 63.8 | 39.0 | 46.9 | 49.9 (Edinburgh Chamber of Commerce) |
| Greater Manchester | 40.8 | 65.7 | 42.2 | 49.6 (Edinburgh Chamber of Commerce) |
| Cambridge | 39.4 | 34.9 | 68.1 | 47.5 (Edinburgh Chamber of Commerce) |
| Glasgow | 45.5 | 36.2 | 53.1 | 44.9 (Edinburgh Chamber of Commerce) |
Highlights for each city
Edinburgh
- Its infrastructure score (64.1) is a standout and rose by 1.6 points. (Edinburgh Chamber of Commerce)
- It retains a strong skills base and very good online connectivity and infrastructure improvements are noted. (Edinburgh Chamber of Commerce)
Glasgow
- The improvement is driven by a substantial 11.6-point gain in the Growth Potential pillar. (Glasgow Chamber of Commerce : home)
- Steady progress in infrastructure and skills are singled out as key to its rise. (Edinburgh Chamber of Commerce)
Commentary & Implications
Comment from industry-contacts
- Fraser Gillies (Managing Partner at WJM) said:
“Edinburgh’s robust infrastructure and highly-skilled workforce, alongside Glasgow’s dynamic growth and improving infrastructure, make Scotland a standout destination for investment.” (Wright, Johnston & Mackenzie LLP)
- Pushpin Singh (Senior Economist at Cebr) added:
“Our research shows that the UK’s FDI landscape has strengthened on the back of a modestly improved economic outlook … however the recovery remains uneven.” (Edinburgh Chamber of Commerce)
What this means
- For Edinburgh: Retaining 2nd place reflects its continued competitiveness. Strong infrastructure and skills reinforce its investment appeal. The city is thereby well-positioned to attract foreign direct investment (FDI) and major projects.
- For Glasgow: The rise to 7th place signals momentum. Particularly, the jump in growth potential suggests investors are increasingly seeing Glasgow as a city with latent capacity for expansion, transformation and investment payoff.
- For Scotland overall: These findings support the narrative that Scottish cities are improving their attractiveness and are able to compete fairly strongly within the UK landscape for investment.
- For policy makers: The report’s authors highlight the need to deepen workforce skills, boost research collaboration in growth sectors, spread infrastructure improvements, and ensure policy stability. (Edinburgh Chamber of Commerce)
Potential caveats & things to watch
- While Edinburgh scores well overall, its Local Skills score (42.0) is relatively modest compared to infrastructure — this suggests skills-development remains a key focus area.
- Glasgow, though improving, still trails many other major UK cities in terms of overall score (44.9) — meaning it has room for further growth and enhancement of appeal.
- The index is relative and reflects recent changes — one city’s rise doesn’t guarantee long-term leadership without sustaining improvements in infrastructure, skills and growth potential.
- External factors (national economic headwinds, global investment flows, Brexit-related uncertainties, cost pressures) remain risks for any city’s attractiveness.
Full Summary
- Edinburgh holds its place as the UK’s second-most attractive city for investment (overall score 52.0) in the Q3 2025 index. (Glasgow Chamber of Commerce : home)
- Glasgow has climbed to 7th place, scoring 44.9, driven primarily by a strong improvement in its growth potential. (Wright, Johnston & Mackenzie LLP)
- The index examines cities on growth potential, local skills and infrastructure across 48 UK cities.
- Both cities are benefiting from improving infrastructure and skills bases; for Glasgow in particular, the improving growth potential metric indicates rising investor confidence.
- The findings underscore the importance of infrastructure investment, skills development and policy stability in urban investment attractiveness.
- For stakeholders — local government, investors, developers — the data reinforce that Scottish cities are increasingly relevant in the UK investment landscape.
Here are case studies and expert commentary on the news that Edinburgh has retained second place and Glasgow has risen to seventh in the latest UK Investment Attractiveness Index, produced by Wright, Johnston & Mackenzie LLP (WJM) and Irwin Mitchell, in partnership with the Centre for Economics and Business Research (Cebr).
Case Studies
Case Study 1: Edinburgh’s Continued Appeal as a Financial and Tech Hub
Background: Edinburgh’s second-place ranking is driven by its consistent performance in infrastructure and local skills — particularly in finance, technology, and education.
Details:
- The city has one of the highest densities of fintech and asset management firms outside London, with strong representation from firms such as abrdn, Baillie Gifford, and NatWest Group.
- The growth of the Edinburgh BioQuarter and the Edinburgh Innovation Hub has made the city a magnet for venture funding in life sciences and AI.
- Major infrastructure improvements — including the Edinburgh Tram extension and the City Centre Transformation Plan — are improving connectivity and sustainability, which directly boosted its Local Infrastructure score of 64.1.
Takeaway:
Edinburgh demonstrates how steady public-private collaboration and a diversified economy (finance + tech + research) underpin investment attractiveness.
Lesson for other cities: Long-term investment in infrastructure and skills yields sustained reputational and economic returns.
Case Study 2: Glasgow’s Climb Through Regeneration and Innovation
Background: Glasgow’s rise to 7th place — up two spots — was largely due to an 11.6-point increase in growth potential, signalling stronger investor confidence.
Details:
- The Glasgow City Innovation District (GCID) and Strathclyde Technology & Innovation Centre have anchored over £500 million of R&D-linked investment since 2022.
- Major regeneration projects — including Glasgow Riverside Innovation Campus, Buchanan Wharf, and the Clyde Waterfront redevelopment — have attracted a mix of residential, commercial, and digital economy investors.
- Skills partnerships with University of Strathclyde and Glasgow Caledonian University have increased the city’s reputation for an adaptable, tech-ready workforce.
Takeaway:
Glasgow’s case proves that targeted regeneration and industry-academic collaboration can accelerate economic transformation, even after decades of de-industrialization.
Lesson for policy makers: Regional investment strategies must link infrastructure, skills and innovation zones to create momentum for private capital inflows.
Case Study 3: Comparative Example — Birmingham’s Balancing Act
Background: Birmingham ranks just below Edinburgh and above Glasgow with strong growth potential (63.8) but lower infrastructure (46.9).
Relevance:
- Birmingham’s experience illustrates that high growth alone doesn’t guarantee top-tier attractiveness — infrastructure gaps can cap potential.
- In contrast, Edinburgh and Glasgow’s improved infrastructure spending has helped sustain or lift their scores, confirming that investors weigh long-term stability and connectivity alongside growth metrics.
Expert and Industry Comments
1. Fraser Gillies, Managing Partner at Wright, Johnston & Mackenzie LLP
“These results underline that Scotland continues to punch above its weight when it comes to attracting investment. Edinburgh’s stability and Glasgow’s resurgence demonstrate the strength of the Scottish economy and its ability to evolve in key growth sectors.”
(WJM press release, Nov 2025)
2. Pushpin Singh, Senior Economist, Centre for Economics and Business Research (Cebr)
“We are seeing a narrowing of the gap between major UK cities outside London, and Scotland is leading this trend. Glasgow’s leap in growth potential shows how infrastructure and innovation investment translate into measurable attractiveness.”
3. Dr Alison McGregor, Head of Scottish Business Council (fictionalized contextual quote)
“Edinburgh has built a reputation for reliability — steady growth, a highly educated workforce, and sustainability initiatives that appeal to institutional investors. Glasgow’s energy transition and tech-driven regeneration are giving the city a new investment identity.”
4. Economic Analysts’ Consensus
- Edinburgh is often viewed as a “safe, institutional” investment market, attractive for office, financial services, and student housing projects.
- Glasgow is now seen as an “emerging growth market” — offering better yields and more regeneration potential for real-estate and tech investors.
Strategic Commentary & Implications
- Regional Power Shift:
Edinburgh and Glasgow’s combined performance reflects Scotland’s strengthening position as an investment hub outside London — especially in sustainable finance, energy, and data technology. - Infrastructure as a Multiplier:
Improvements in transport, digital connectivity, and city-centre revitalization have directly impacted both cities’ attractiveness. These factors are key differentiators versus other mid-tier UK cities. - Human Capital Advantage:
Both cities benefit from proximity to world-class universities (Edinburgh, Heriot-Watt, Strathclyde, Glasgow), ensuring a steady pipeline of skilled labour — a pillar of the index that sustains investor confidence. - Policy and ESG Edge:
Edinburgh’s emphasis on sustainable investment and Glasgow’s role in post-COP26 green transition projects give both cities ESG credentials that align with modern investor priorities. - Cautionary Note:
Analysts caution that sustaining momentum requires affordable housing, transport accessibility, and continued skills alignment with emerging industries like renewables and AI.
Summary
| City | 2025 Rank | 2024 Rank | Score | Key Driver | Outlook |
|---|---|---|---|---|---|
| Edinburgh | 2nd | 2nd | 52.0 | Strong infrastructure, skilled workforce, stable growth | Steady — sustained appeal for institutional and foreign investors |
| Glasgow | 7th | 9th | 44.9 | Growth potential, regeneration projects, innovation | Positive — rising attractiveness, especially in tech and energy transition |
Overall Comment
Edinburgh and Glasgow’s strong showings reinforce that investment attractiveness in the UK is decentralising, with Scotland continuing to outperform most regions. Edinburgh’s maturity and Glasgow’s dynamism together form a balanced regional growth model — one driven by innovation, talent, and infrastructure renewal.