The 2025 Demos-PwC Good Growth for Cities Index indicates that the East Midlands has an emerging employment hub, with Derby and Lincoln both performing above average for jobs, measured by unemployment rates. Leicester and Northampton all performed above the UK average for the number of new businesses established per head.
Lincoln ranks 20th in this year’s Index due to improvements in job opportunities, higher educational attainment for 16 to 24 year olds, and more equal income distribution, compared to last year. Nottingham was the lowest performing city in the region, ranking 40th.
The Index ranks 50 of the UK’s largest cities, excluding London, based on both the public’s assessment and the actual performance of 12 economic measures, which this year, in order of public importance, were: income; income distribution; safety; work-life balance; health; jobs; housing; environment; transport; high streets; skills and new businesses. The higher the city scores on the public’s top priorities, the better the city performs on the Index.
Financial measures such as income and jobs have previously led in their importance to the public by a wide margin, but results from this year’s survey reveal a rise in the importance of non-financial measures. Skills, high streets, housing and transport have all risen on the public agenda. Income and income distribution remain the top two priorities but have seen their sharpest year-on-year decline.
The East Midlands performance
The six Good Growth Cities in the East Midlands generally performed below the national average when measured against public priorities.
Rankings in the Index are as follows:
- Lincoln: ranked 20th (24th last year)
- Derby: ranked 24th (23rd last year)
- Leicester: ranked 32nd (20th last year)
- Northampton: ranked 36th (39th last year)
- Nottingham: ranked 40th (25th last year)
Alex Hudson, market senior partner, East Midlands at PwC, said: “The Index findings present a compelling narrative of transformation and opportunity within the East Midlands. The emergence of Derby and Lincoln as employment hubs underscores the region’s growing influence in the UK’s economic landscape.
“The entrepreneurial spirit thriving in cities like Leicester and Northampton further highlights the dynamism and resilience of our local business community. Despite varied performances across the region, these insights are a useful tool for policymakers, investors, and business leaders to address existing challenges and leverage strengths to encourage inclusive growth.
“By championing initiatives that support skill development, equitable income distribution, and enhanced infrastructure, we can cultivate a robust and sustainable economic future for the East Midlands – the opportunity is clear.”
How other cities in the UK performed
York is the highest performing city in the Index, with Edinburgh rising to second place and Bristol in third place. These cities scored highly across high streets, skills, and jobs which are key indicators of prosperity that the public increasingly values. York ranked among the top three cities for both high street and jobs.
