Bristol has been declared the UK’s top regional startup location, according to new analysis released on Day 2 of the national property conference UKREiiF 2025 (taking place in Leeds this week). The findings by BNP Paribas Real Estate’s Next X data tool, show Cambridge in second place, and Leeds in third.
According to the Next X Start-up Index, while London continues to dominate by scale, leading regional cities and key university towns are increasingly outperforming the capital on key growth indicators. The full top 10 ranking is as follows:
- Bristol
- Cambridge
- Leeds
- Edinburgh
- Reading
- Oxford
- Cardiff
- London
- Manchester
- Milton Keynes
The Next X Start-up Index ranks 61 UK cities across more than 20 metrics – including access to talent, coworking infrastructure, business survival rates and start-up density – to identify where SMEs are most likely to thrive.
Josh Arnold, Next X Research at BNP Paribas Real Estate commented: “While London remains the UK’s largest start-up market, there are regional markets that are developing distinctive, and expanding, start-up ecosystems. Our data shows that regional cities like Leeds, Bristol and Cambridge are outperforming on many metrics and driving sector-specific clustering.
“For the office market, this presents a clear signal: opportunities lie with understanding and delivering the supportive infrastructure that allows these high-growth businesses to thrive – whether that be flexible coworking offices, strong digital connectivity or purpose-built incubator hubs.
Simon Williams, Head of National Markets at BNP Paribas Real Estate added: “The strength of regional cities as start-up powerhouses is reshaping the real estate playbook. Occupiers are prioritising affordability, connectivity and access to skilled workforce, and that’s fuelling demand in places like Bristol, Leeds, and Edinburgh. There’s rental growth to be captured out there, with regional prime office rents projected to increase by up to 28% by 2029.
Commenting on the planning system’s role in unlocking SME growth, Caroline McDade, Head of National Planning at BNP Paribas Real Estate added: “Planning has a pivotal role to play in enabling the UK’s next generation of business growth. We can see from the cities highlighted in the index are those making it easier to do business, with up -to-date Local Plans, flexible mixed-use zoning, proactive infrastructure delivery, and most importantly, a genuine commitment to placemaking. If we want to power the next wave of SME growth, planning policy must keep pace with how start-ups live, work and scale. Real estate needs a planning system that’s not just fit for purpose but fit for the future.
BNP Paribas Real Estate is based on Pavilion Avenue in the Purple Zone at UKREiiF 2025 and will be showcasing its Next X tool, which is guiding its occupier, investor, and developer clients towards future growth hotspots.
