First Minister John Swinney has hailed figures showing Scotland’s foreign direct investment (FDI) “attractiveness” is at a record high.
EY’s UK Attractiveness Survey found the country continues to be the UK’s top destination for outside investment after London – despite a 20% drop in investment projects.
Excluding the UK capital, which grew by 5%, the number of UK projects fell by 23%, while those across Europe fell by 7%.
Scotland had 108 inward investment projects in 2025, amounting to 13.8% of all UK FDI projects. The figure is down from 15.8% the previous year but above the 10-year average share of 11.6%.
Some 51 of the projects in 2025 were new, while 57 were operations expansions.
Over the last decade, Scotland is estimated to have secured 52,144 jobs from FDI – representing 12.2% of the UK total and ranking second in the UK over that period for total FDI employment, according to EY.
The survey found investor sentiment towards Scotland remains very positive, with the nation being considered the most attractive UK destination outside London by investors.
One third of those planning UK investment say they will choose Scotland, up from 27% last year and an all-time high, EY said.
The firm said Scotland’s “big three” cities continued to play a major role in attracting international investment.
In 2025, Edinburgh was Scotland’s top city for FDI with 30 projects, a 25% increase on 24 projects in 2024.
The Scottish capital ranked second overall outside London, after Manchester secured one more (31) to take top spot.
Glasgow came fourth outside London after securing 23 projects, while Aberdeen slipped out of the UK’s top 10 cities outside London in 11th place, having recorded five projects – down from 12 the previous year.
EY said this reflected “continued challenges over the future of the North Sea”.
The Scottish Government said the figures showed Scotland remained the UK’s top destination for foreign direct investment outside London for the 11th consecutive year.
The First Minister welcomed the results of the survey on a visit to the Gartcosh factory of Guala Closures, which produces bottle closures.
Mr Swinney said: “The results that have come out from the EY Foreign Direct Investment Index demonstrate another really strong performance for Scotland.
“For the 11th year in a row, Scotland is the most attractive and successful destination for foreign direct investment of any part of the United Kingdom, other than London and the South East, and that is in the face of very challenging economic conditions globally.
“It demonstrates the success of Scotland as an investment location and destination, and a place that attracts very significant interest from the international community.
“That’s down to the skills, the talents, and the investment proposition put forward by Scotland, the Scottish government, and all of our partners.”
EY Scotland managing partner Sue Dawe said: “Scotland’s performance highlights the strength and resilience of its investment proposition. While global investment flow has slowed, Scotland remains the clear destination of choice outside London.
“The powerful sentiment results, particularly within financial services, is a strong endorsement of how positively investors view Scotland – and a signal for policymakers to capitalise on these enduring strengths by translating perceptions into higher investment flows.
“While global macroeconomic pressures, geopolitical uncertainty and energy costs continue to weigh on investment decisions, the survey decisively concludes that Scotland’s fundamentals remain strong: a deep talent base, competitive cities, internationally recognised sector strengths and a proven ability to secure high-value investment.
“When investors are asked what could be done to improve competitiveness, they point to the same actions the Scottish business community has been calling on for years. There is a single unified voice across the spectrum.
“Rising to this challenge will demand sustained commitment backed by action. But with the new parliamentary term beginning, there’s arguably no better time to muster the political will to bolster Scotland’s attractiveness than now.”
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