Edinburgh has maintained its place as a leading international financial centre in the latest Global Financial Centres Index (GFCI), placing seventh in Western Europe, second in the UK, and rising one place to number 21 on the global list.

For human capital, Edinburgh placed fifth on the GFCI 31 global list.

Glasgow rose 13 places on the global list to number 52.

“Significant changes in GFCI 31 include Seoul entering the Global Leaders list in this edition, with Mexico City, Tel Aviv, Stockholm and Edinburgh moving to the Established International sector,” said the report.

Scotland’s financial and asset management sector sustains around 160,000 jobs.

Major employers in the sector in Edinburgh and Glasgow include Abrdn, Baillie Gifford, Phoenix Group, Royal London, NatWest-RBS, Lloyds Banking Group, Virgin Money, Barclays, Blackrock and Morgan Stanley.

Scottish Financial Enterprise CEO Sandy Begbie said: “Both Edinburgh and Glasgow have improved their rankings in this year’s international-recognised Global Financial Centres Index – a welcome indication of Scotland’s growing strength and international competitiveness in financial services.

“We are ambitious to build on our strong history of innovation and quality in financial services to continue this upward trajectory.

“Scotland’s Financial Services Strategy, which we developed with our members, aims to do this by focusing on our unique strengths and outstanding ecosystem.

“Through the continued delivery of our strategy, I am confident we will see both Edinburgh and Glasgow make further gains in the index.

“By recruiting, developing and retaining diverse, high-performing talent from all backgrounds, innovating to meet evolving customer needs, and inspiring global leadership in green finance to lead the journey to net zero, we can demonstrate the positive impact finance can have in society and deliver success that benefits everyone.”