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London, Manchester, Birmingham: where to locate your business in the UK?

Drew Barrett
Auteur

September 22, 2025
Publié le

The UK remains a key destination for French companies looking to expand internationally. Despite the challenges linked to Brexit, the country retains a robust economic environment, state-of-the-art infrastructure, and advantageous tax policies, making it a strategic choice for SMEs and ETIs.

In 2025, the UK continues to offer exceptional opportunities for entrepreneurs. However, with major cities such as London, Manchester and Birmingham to choose from, the choice of location can be complex. Each of these cities has unique assets that meet the specific needs of businesses. Discover the distinct advantages of these three economic hubs and the trends that make them particularly attractive today.

Londres, Manchester, Birmingham où implanter son entreprise au Royaume-Uni

London: The heart of global business

A dynamic entrepreneurial ecosystem

London remains one of the world's leading financial centers, and continues to attract entrepreneurs. In 2025, the British capital is home to more than 15,000 startups, with around 1,200 new businesses created every month. The fintech, cybersecurity, biotech and artificial intelligence (AI)sectors are experiencing strong growth. Incubators and gas pedals such as Tech Nation, Seed camp, Level39 and Capital Enterprise actively support these young companies.

Competitive taxation and innovation incentives

The UK retains one of the most favorable tax regimes in Europe. The corporation tax rate has risen to 25% for large companies (since April 2023), but remains lower than in France (32%). In addition, tax credits for research and development (R&D) enable innovative companies to recoup up to 33% of their R&D expenditure, a highly attractive measure for technology companies and startups. The Enterprise Investment Scheme (EIS) also enables investors to obtain tax benefits, facilitating access to finance for young companies.

Access to a Global market

London remains a global hub with direct access to international markets thanks to its numerous post-Brexit trade agreements. The city generates around 25% of the UK's GDP and continues to be the gateway to Europe, Asia and North America, strengthened by privileged trade connections.

Financing made easy

London is a major financing center, with the London Stock Exchange and over 300 investment funds, including several international investment banks. Thanks to its financial dynamism, entrepreneurs can quickly obtain competitive financing. The country also highlights funds dedicated to emerging sectors such as green tech and AI, which are priorities for 2025.

Simplified bureaucracy

Setting up a business in London remains one of the quickest and easiest in Europe: registration at Companies House can be completed in less than 24 hours, compared with several days in France. This ease of administration is a major advantage for entrepreneurs wishing to concentrate on growing their business.

An attractive, cosmopolitan environment

London continues to attract talent from all over the world. With almost 45% of the population coming from abroad, the city benefits from a unique cultural richness. This diversity is an invaluable asset for companies seeking a variety of profiles in fields such as finance, technology, healthcare and engineering. London also remains a global center for research and innovation.

Manchester: a technological and economic alternative

A booming entrepreneurial ecosystem

Manchester is becoming a major center for technology startups, particularly in the fields of artificial intelligence, fintech and data science. By 2025, the city was home to a number of incubators, including The Sharp Project and Manchester Science Park, supporting innovative businesses. The number of startups grew by 20% in 2020, and this trend is continuing, mainly thanks to investment in the digital and technology sectors.

Competitive operating costs

Compared to London, Manchester offers undeniable financial advantages. Office rents in the city center are around 40% cheaper than in the capital. The cost of living is also much lower, enabling companies to maintain higher profitability while accessing a large talent pool.

A fast-growing technology hub

Manchester is now one of the UK's leading technology hubs, with companies such as Peak and The Hut Group experiencing exponential growth. The city's digital sector generates over £8 billion and attracts talent in key areas such as AI, cybersecurity and software development.

Access to top talent

Manchester benefits from the expertise of several prestigious universities such as the University of Manchester and the University of Salford, which produce nearly 50,000 graduates every year in sectors such as technology, finance and engineering. This offer gives companies access to a constant flow of qualified talent to support their growth...

Proximity to London

Manchester is only two hours by train from London, enabling companies to benefit from the capital's accessibility while enjoying Manchester's lower costs. This proximity to London provides the best of both worlds: a competitive business environment and a fast link to opportunities in the capital.

Birmingham: dynamism at the heart of the UK

A diversified and innovative economy

Birmingham is a major economic center, home to over 120,000 businesses and a variety of sectors including manufacturing, engineering, finance and technology. The city's technology sector is worth £2.5 billion and growing fast, with companies focusing on robotics, industrial automation and green tech.

A low cost of living

Birmingham continues to enjoy a lower cost of living than London. Office rents are around 50% cheaper, which is a strong argument for companies looking to maximize their profitability while gaining access to modern infrastructure.

Exceptional transport infrastructure

The city is well connected thanks to its transport network. In 2025, Birmingham will be just 1.5 hours from London by train and 1 hour from Manchester. Its international airport makes it a gateway to world markets, making it easy for businesses and employees to get around.

A breeding ground for academic talent

Birmingham is home to prestigious institutions such as the University of Birmingham, Aston University and Birmingham City University, producing graduates in key areas such as engineering, finance, health and technology. This ensures a constant flow of talent to support businesses in their development.

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Conclusion

Whether you choose London, Manchester or Birmingham, each city offers a unique set of advantages that can meet your business needs. London remains a global center of opportunity, Manchester offers a more economic and technological environment, while Birmingham stands out for its strong network and lower operating costs.

For a personalized diagnosis of the best city for your company, please contact Expandys. Our experts will help you make the right decisions.

How Expandys can help French companies interested in London, Birmingham, Manchester :

Carry out a market study to assess the opportunities in each city.
Assist with administrative procedures, from registration to managing formalities.
Identify the best location strategies for your needs.
Connect you with local partners and help you understand the British market.