Oxford has maintained its position in the top 10 of the most attractive locations for Foreign Direct Investment (FDI) buoyed by strong infrastructure and its highly skilled workforce – according to a new report.
The study by Irwin Mitchell and the Centre for Economics and Business Research (Cebr), evaluates the attractiveness of the UK’s largest cities for FDI by analysing 50 locations based on 10 key indicators*
The latest quarterly version of the report says Oxford has fallen one place to sixth but remains firmly within the top 10 with an overall score of 46.9 points.
Oxford leads in terms of infrastructure owing to its dense road network. Although, Oxford’s performance in the growth potential category is relatively poor, its status as an education hub ensures a strong ranking for skills. The city’s highly skilled workforce continues to attract businesses in advanced sectors such as biotech, and leaves Oxford well positioned for future capital inflows in growing sectors.
Quarter-on-quarter change in FDI Attractiveness score across Q4 2024 and Q3 2024 (Irwin Mitchell / Cebr)
| Location | Overall Score | |||
| Nov 2024 Score | QoQ Change | Nov 2024 Rank | QoQ Change | |
| Inner London | 78.6 | 6.6 | 1 | 0 |
| London | 73.8 | 5.3 | 2 | 0 |
| Outer London | 66.8 | 5.5 | 3 | 0 |
| City of Edinburgh | 49.1 | 10.5 | 4 | 2 |
| Greater Manchester | 47.1 | 10.7 | 5 | 3 |
| Oxford | 46.9 | 7.3 | 6 | -1 |
| Birmingham | 46.0 | 8.2 | 7 | 0 |
| Manchester | 43.0 | 8.4 | 8 | 1 |
| Cambridge | 42.8 | 8.8 | 9 | 1 |
| Leeds | 41.9 | 14.7 | 10 | 8 |
Oxford continues to outperform Cambridge, though the gap is narrowing. The report highlights Cambridge’s strong infrastructure, and moderate local skills. However, its overall attractiveness is hindered by a slightly weaker performance in growth potential.
Bryan Bletso, Partner and Head of International at Irwin Mitchell, commented on the findings:
“Oxford’s ability to maintain its position in the top 10 most attractive locations for foreign direct investment outside of London is a testament to its robust infrastructure and highly skilled workforce. Despite a slight drop to sixth place, the city’s strong performance in local infrastructure and its status as an educational hub continue to make it a prime destination for businesses, particularly in advanced sectors like biotech.
“Additionally, Cambridge has also shown impressive resilience, performing well alongside Oxford. Both cities are thriving despite the positive impact of freeports and investment zones on other regions. This report highlights the shifting landscape of investment appeal across UK cities, and Oxford’s and Cambridge’s strategic advantages position them well for future growth and capital inflows.”
The Office for National Statistics recently published the latest FDI statistics, revealing that the value of the UK’s inward FDI position increased by £126.8 billion, reaching £2,068 billion.
According to the latest statistics from the Department for Business and Trade, 1,555 projects landed in the UK during the 2023/24 financial year because of FDI, resulting in 71,478 new jobs being created. Out of these projects, 1,023 represented new investment, with 357 involving an expansion of an existing investment, and the remainder accounted for by mergers and acquisitions including joint ventures.
