Edinburgh Retains Position as One of UK's Leading Destinations for Foreign Investment
Published byFraser Gillies
- Edinburgh ranked second in UK for investment attractiveness
- Only top-five location to improve its score
- Financial services, innovation and talent pipeline continue to attract investors
Edinburgh has been named the UK's second most attractive location for foreign direct investment (FDI), according to new research highlighting the Scottish capital's enduring appeal to international investors.
The Investment Confidence Index, produced by the Centre for Economics and Business Research (Cebr) for Wright, Johnston & Mackenzie LLP (WJM) and Irwin Mitchell, assesses 48 UK locations using measures linked to their appeal to overseas investors.
Edinburgh retained second place in the latest rankings, behind only London and ahead of Greater Manchester, Birmingham and Oxford. It was also the only location in the top five to improve its overall score
The report found Edinburgh performed strongly across growth potential, local skills and infrastructure, supported by its highly qualified workforce, strong international connectivity and position as one of the UK's leading financial centres.
The findings come against a challenging backdrop for foreign investment. Scotland recorded 94 foreign direct investment projects during 2025/26, while Edinburgh retained its position as the UK's second most attractive location for investment and was the only city in the top five to improve its overall score.
Across the UK, Department for Business, Innovation, Science and Trade figures show that 1,020 FDI projects landed in 2025/26, down 25.8% from the previous year. During this period, Scotland recorded 94 foreign direct investment projects during 2025/26.
Despite this, the report says Edinburgh continues to benefit from its strengths in financial services, innovation, talent and infrastructure, helping maintain its position as one of the country's leading destinations for international capital. The city profits from a globally recognised university sector, life sciences and data-driven innovation.
Major developments including the Edinburgh BioQuarter, the continued expansion of the city's tram network and investment in commercial, residential and visitor infrastructure are also helping strengthen Edinburgh's long-term investment proposition.
Fraser Gillies, Managing Partner at Wright, Johnston & Mackenzie, said:
"Edinburgh continues to stand out as one of the UK's most attractive destinations for international investment because it offers many of the qualities investors value most highly
"The city benefits from a stable legal and regulatory environment, a highly skilled workforce and a strong culture of innovation, supported by world-class universities and research institutions.
"Its strengths in financial services, technology, life sciences and professional services provide a diverse platform for growth, while ongoing investment in infrastructure and regeneration is helping create new opportunities across the economy.
"Edinburgh also offers something increasingly important to international businesses and investors: long-term confidence. Investors want locations where they can access talent, build partnerships and plan for sustainable growth over many years.
"That combination of stability, innovation and quality of life continues to make Edinburgh one of the UK's leading destinations for overseas investment."
