London has risen from fourth in 2023 to become the third placed Tech City in the world in 2025, just behind San Francisco and New York, in Savills biennial Tech Cities Index, with four more UK cities also ranked within the top 100.
As part of its Impacts thought leadership programme, Savills measured the business and tech environments, buzz and wellness, talent pool, and the strength and depth of different tech sub sectors across 100 cities worldwide, to determine which are driving tech innovation and attracting tech talent. According to Savills, London ranks well on talent, as the Tech City with the highest concentration top-ranked universities, which spur innovation and produce highly skilled graduates. It has particular strengths in FinTech, CleanTech and recently DeepTech and AI, helping it attract more venture capital than any other European city.
“London remains a top choice for global tech occupiers, whether they are homegrown firms or international players seeking a European HQ,” comments Andrew Barnes, Director, Central London Office Leasing, Savills. “It offers access to a well-qualified, experienced and English-speaking tech labour market, broader than in many other European centres, and is often more cost-effective than in US cities. In addition, as well as an extensive transport network, London has a wide range of quality office stock across well-connected sub-markets, giving flexibility to tech firms looking to scale up.”
Beyond London, Cambridge is ranked 37th, Bristol 60th, Oxford 66th and Manchester 68th globally, showcasing the breadth and depth of tech talent and capacity concentrated within the relatively small geographical area of the UK. More broadly, other European cities in the Index include Paris (15th), Berlin (19th), Stockholm (22nd), Amsterdam (24th), Munich (25th), Barcelona (39th) and Madrid (45th), while in the Middle East Dubai has risen 20 places to 43rd.
Paul Tostevin, Head of Savills World Research, adds: “The tech industry is undergoing major transformation due to AI. Despite the potential monumental advances being made, however, human capital remains tech’s most important asset, so city attractiveness matters to companies trying to recruit the best talent. The cities that appear high in our Index provide vibrant city living, cultural and lifestyle offerings, with many smaller cities (by global standards) – including those in the UK – punching above their weight. For investors, landlords and developers, a high performing Tech City will see increasing demand for real estate in the form of more office space for tech occupiers, or housing that meets the need of a highly skilled, mobile workforce.”