New report hails Greater Manchester’s AI readiness

A new report from AI and analytics software firm SAS has hailed the strength of Greater Manchester as the UK’s most AI-ready city outside London.

Researchers from the firm analysed the AI-related companies, university courses featuring elements of AI, and jobs within a five-mile radius in their analysis, alongside the numbers of other AI events and hackathons, Google search activity for AI solutions and Innovate UK grant funding.

The SAS AI Cities Index 2024 found Manchester boasted the highest number of AI-related companies and local jobs, while Salford ranked in third place, climbing 68 places on its 2023 performance, boosted by receipt of over £100 million from the UK’s innovation agency.

According to the UK government, the AI sector contributes more than £3.7 billion to the economy every year – and by 2035, it’s forecast to grow to over $1 trillion in the UK.

Glyn Townsend, senior director of education services at SAS for Europe, the Middle East and Africa said

“AI-ready cities will lead the way in being more resilient, while also meeting new urban living standards, such as meeting sustainability targets, and even making services more accessible to people living with disabilities”

Manchester has seen a number of AI innovations and initiatives in the last year, while more widely in Greater Manchester, Stockport will soon be home to a 40MW sustainable data centre being brought forward by Kao Data that will provide the computing power for the city-region’s booming AI and digital industries.

Glyn Townsend added,

“With 80% of UK organizations struggling to recruit applicants with suitable skills, if they do not have adequate tech talent, businesses face the challenge of how to remain competitive in an increasingly tech-driven world. And if they then cluster in regions and cities with talent, it could risk deeper regional inequalities. All cities need to be prepared to play their part – addressing digital and data literacy gaps, securing support to apply for investment, and ultimately, helping drive the future economy.”