Around 10,000 jobs were created in Scotland by foreign investors, a survey has found.
Foreign investment in Scotland outpaced the rest of the UK and Europe last year according to Ernst & Young’s latest Scotland attractiveness survey.
The accounting firm says Scotland is one of the UK’s top locations for foreign investment according to their latest Scotland Attractiveness Survey.
Five Scottish cities made it into the top 20 UK locations for investment outside of London.
Edinburgh was joint first with Manchester with Glasgow coming in at fourth place, with Aberdeen, Dundee and Livingston also featured.
Scotland’s share of projects in the UK sits at 12.3%, its highest level in the last decade, while London remains the most popular location in the UK for direct investment.
Ernst & Young pointed to Scotland’s strength in high-value, high-growth industries like digital and utilities as a sign for future optimism.
Ernst & Young Scotland Managing Partner, Ally Scott, said: “The past year has seen Scotland continue to make great strides as a destination for FDI, meaning it can look to the future with even greater confidence.
“Scotland’s record levels of attractiveness underline that our second-placed UK ranking for FDI flow is matched and underpinned by investors’ rising perceptions.
“Our findings suggest the outlook for Scotland’s FDI is exceptionally bright.
“But having fared well through Brexit and the pandemic, keeping that momentum will require ongoing commitment and hard work in the face of historically high inflation, the rising cost of living and wider geopolitical risks.”
Adrian Gillespie, chief executive of Scottish Enterprise, said the survey showed “the compelling strengths Scotland has to offer on the international stage”.
He said: “Scotland’s incredible workforce, world-renowned universities, competitive cost base, supportive business environment, magnificent natural resources and unparalleled quality of life on offer immediately put Scotland on the radar of investors.
“When combined with our ‘Team Scotland’ approach, which sees public bodies, academia and industry working together to promote the very best Scotland has to offer, this really makes us stand out from the crowd.
“Businesses have told us that this joined-up approach is a key reason why they choose Scotland, and EY’s survey is testament to this, with Scotland’s perceived attractiveness to inward investors now at record levels.”
Mr Gillespie continued: “For Scotland’s performance to grow so markedly, and to yet again be the most attractive location in the UK for FDI outside of London, is a fantastic achievement that will further enhance our global reputation.
“Scottish Enterprise and our partners will continue to promote Scotland as an ideal investment location, delivering economic and partnership opportunities for our communities and businesses alike.”