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Aberdeen named best city in Scotland for SME jobs

And it's also among the top cities in the UK for average pay at smaller firms.

Aberdeen is high up in the UK rankings.
Aberdeen is high up in the UK rankings. Image: Glen Cairns

Aberdeen has been ranked top city in Scotland and sixth best in the UK to work for a smaller firm.

The Granite City is a new entrant in the latest Top 25 Towns & Cities for SME (small and medium-sized enterprise) Jobs report from small business lender iwoca.

Scotland’s third largest city is there thanks to its high job density – 1.1 roles available per worker – and “strong” average hourly wage.

Glasgow is down 12 places, from 1st to 13th, since the previous list.

There are no other Scottish cities in the top 25, which this time is led by Peterborough.

Aberdeen leads UK top six for pay

The ranking uses a range of criteria that most jobseekers look for, including average wages, commute times, house prices, job density and growth in the number of SMEs.

Average hourly pay in Aberdeen has risen by £1.15 in the past year, to £21.81, iwoca said.

This puts the city among the best in the UK for SME pay and top among the leading six in the overall top 25.

Aberdeen also has relatively low house prices, with the median at £150,000, compared with £500,000 in Winchester, the lender added.

Aberdeen’s SME workforce also benefits from business initiatives pioneered by the city council, boosting the local economy, iwoca said.

As an example, it highlighted how the local authority works with Elevator UK to deliver Business Gateway, with 16 advisers working across the city and shire to provide support to smaller firms at all stages of their growth.

Peterborough is ranked as the best city in the UK to work for a smaller firm.
Peterborough is ranked as the best city in the UK to work for a smaller firm. Image: Shutterstock

Aberdeen and Grampian Chamber of Commerce chief executive Russell Borthwick said: “It’s really encouraging to have the fact Aberdeen is one of the best places in the country to work for a small business confirmed by this study.

“For people that live or work in the north-east of Scotland this won’t come as a surprise,

“But it’s great to have it amplified to the rest of the UK.

‘Incredible quality of life’ in the Granite City

“Small businesses thrive here, and Aberdeen has long held the status of being the best place to start an SME due to great start-up support and the highest five-year plus survival rates in the country.

“Add this to incredible quality of life, the highest net disposable income levels in the UK…  and an entrepreneurial eco-system that promotes supporting local supply chains, while being one of the top exporting regions in the nation, and you can see why iwoca will have come to the conclusions it did.”

Aberdeen and Grampian chief executive Russell Borthwick
Russell Borthwick, of Aberdeen and Grampian Chamber of Commerce. Image: Kami Thomson/DC Thomson.

Mike Duncan, development manager for the Federation of Small Businesses (FSB) in the north-east, said: “For Aberdeen to be judged as the best city in Scotland to work for a small business is fantastic news.

“Small employers contribute a great deal to the city’s economy, and attraction and retention of the best staff is vital for business growth.”

Mike Duncan, development manager with the Federation of Small Businesses in the north-east.
Mike Duncan, development manager with the Federation of Small Businesses in the north-east. Image: Ian Forsyth

Mr Duncan added: “FSB members I speak to, right across the city, recognise the importance of that owner-employee relationship. As well as benefiting local employees, I hope this news from iwoca helps to promote Aberdeen as a fantastic place to live and work.”

Iwoca said Edinburgh’s omission from its top 25 was largely due to high house prices in the capital. Meanwhile, “sky-high” house prices and long commute times kept Greater London off the list.

SMEs ‘a huge asset to our high streets’

Seema Desai, chief operating officer at iwoca, said: “SMEs are not only huge assets to our high streets but they provide millions of opportunities for jobseekers of all levels and generations.

“Beyond the much-talked-about large corporations, SMEs give workers the fulfilling and diverse careers they strive for, and it’s fantastic to see these opportunities being spread across the country.”

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