Manchester tops UK AI city ranking for third consecutive year
The latest SAS AI Cities Index ranks Manchester as the UK’s most AI-ready city outside London for a third year running.
Manchester has ranked as the UK’s most AI-ready city outside London for the third consecutive year, according to the SAS AI Cities 2026 Index.
The index, produced by data and AI company SAS, assesses cities using indicators including AI-related jobs, business activity, innovation funding, education opportunities and digital infrastructure.
Manchester received the highest overall score in the 2026 index, supported by strong AI employment, education and business activity. SAS said the city recorded the highest number of AI businesses in the ranking, with 655 organisations operating in the sector.
The city also performed strongly in Innovate UK funding for AI and data economy projects, while skills and training initiatives have supported Greater Manchester’s wider AI ecosystem.
Recent regional initiatives include the expansion of technology learning hubs for secondary school students and the Future of Work Alliance, a five-year programme focused on AI research, training, internships and scholarships.
Bristol, Glasgow, Oxford, Birmingham, Southampton, Edinburgh, Leeds, Liverpool and Cambridge completed the top ten cities in the 2026 ranking.
Why does it matter?
The ranking points to the growing importance of regional AI ecosystems beyond London. Cities competing for AI investment increasingly need a mix of skills, education, research links, digital infrastructure, business activity and public-sector support. Manchester’s position suggests that local AI strategies are becoming part of wider economic development and workforce planning, although the ranking should be read as a private-sector index rather than an official measure of national AI capacity.
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