Manchester named UK’s most AI ready city for second year

Manchester has been named the UK’s most AI-ready city for the second consecutive year, according to new research.

The SAS AI Cities Index 2025, produced by data and AI company SAS, evaluates cities based on criteria including AI-related job opportunities, innovation funding, education and business activity. Manchester topped the rankings, indicating its strong position to leverage the economic and social potential of AI.

SAS suggests Manchester could be designated an official AI Growth Zone under the UK Government’s AI Action Plan.

Manchester’s continued leadership is attributed to having the highest number of AI-related jobs within a five-mile radius and significant Innovate UK funding for AI purposes. The city also has over 200 AI-specialized businesses.

Salford, also in Greater Manchester, ranked fifth in the index, noted for its fast broadband, AI events and MediaCity presence.

Leeds climbed to second place due to its strong academic offering, while Dundee made a significant jump in the rankings due to increased AI-focused courses and excellent broadband speeds.

The most AI-ready cities in the UK

1. Manchester

2. Leeds

3. St Albans

4. Bristol

5. Salford
    

Says Glyn Townsend, Senior Director of Education Services at SAS for Europe, the Middle East and Africa:

“Manchester’s continued lead in the SAS AI Cities Index shows the huge potential of regional innovation when it’s properly supported – but it also highlights the urgent need to extend that momentum to smaller cities and towns across the UK.

“As the government pushes forward with its AI Action Plan, it’s essential that investment, infrastructure, and education opportunities are scaled beyond the big urban centres. Cities like Dundee and St Albans making major leaps in this year’s rankings prove that with the right support, emerging hubs can play a critical role in the UK’s AI future.

“If we want to unlock the full economic and social potential of AI, we need to build an inclusive, nationwide ecosystem – one where no region is left behind.”

Readers can find the full report here