Greater Manchester ranks third in attractiveness for foreign investment

Greater Manchester has been named the UK’s third most attractive location for foreign direct investment, according to Irwin Mitchell’s Investment Confidence Index and research from the Centre for Economics and Business Research (Cebr).

The Index assesses 48 locations across the UK using measures linked to the attractiveness to overseas investments. In this year’s rankings, which come as government data reveal inward investment projects fell by more than a quarter in 2025/26, Greater Manchester rose from fifth place to third place, behind only London and Edinburgh.

The city-region’s attractiveness was boosted by a significant increase in its Local Skills score, which rose 12 points on last year, the largest improvement recorded across any pillar measured by the index.

Reflecting on how local leaders can further strengthen FDI attractiveness, Irwin Mitchell and Cebr’s research highlights that greater devolution alone is not enough, and that it is how additional powers are used across areas such as skills and infrastructure that increase appeal for overseas investment.

Bryan Bletso, Head of International at Irwin Mitchell, said:

“Our latest research highlights the important role that local strengths can play in enhancing a region’s attractiveness to international investors.

“Devolution creates opportunities for regions to shape their own economic future, but it is not a silver bullet. Its success will be measured by whether greater local powers deliver the skills, infrastructure and investment-ready opportunities that businesses need.

“International businesses also consider factors such as connectivity and long-term growth potential when making investment decisions. The regions that translate local powers into tangible economic advantages will be best placed to give investors confidence in their long-term prospects.”