New report suggests city is becoming an increasingly attractive place for graduates to stay
More people who study at Liverpool’s universities are remaining in the city as graduates
Liverpool is proving it is a “great place to build a life” after the city was ranked third in the country in terms of graduates studying and then staying in the city. Liverpool is a well established university city, but had previously struggled to have the career options for many to remain here and progress with their lives.
But this now appears to be shifting, according to new research from student recruitment marketing agency Think Orion. The report states that for students completing their studies in England in 2025, London had the highest graduate retention rate at 84.2%.
This is not surprising considering the economic power and vast career opportunities in the capital. The average annual income in the city is £51,662, the highest in the UK, and 61% of adults are employed, meaning many graduates thrive with an abundance of employment opportunities and high earnings.
Second on the list was Manchester, with a retention rate of 76.3%. The average annual income in the city is £33,715 and around 54% of adults are currently employed.
But very close behind in third is Liverpool, with a retention rate of 76.26% and interestingly, a higher average graduate salary of £34,172. The city boasts a graduate employment rate of 51% with the report stating that graduates from the city or nearby have a good incentive to remain in their home region.
These figures have been warmly welcomed by the city council, where senior figures have been keen to expand Liverpool’s jobs offer beyond the sectors of hospitality and tourism that have been the success stories for the city in recent decades.
Sectors like health, life sciences, digital and creative are seen as the key growth areas for Liverpool’s future and according to Cllr Nick Small, cabinet member for growth and the economy, we are seeing the benefits of these expanding sectors.
Cllr Small told the ECHO: “I think that when it comes to graduate retention, we are looking at a different picture now. In terms of what the council and the city region combined authority has been doing, we have locked the city’s universities into the work we are doing to bring high quality jobs into the city. It is very encouraging to see.
“If you look at the sectors such as health, life sciences, creative, digital and gaming, these are the higher value jobs that will keep people in the city.
“The universities have all had a strong pivot towards keeping graduates in Liverpool.
“There have also been a lot of efforts to improve the housing offer in and around the city centre – it feels like we are on the right track.
“As a council its really important to have the right policies and the right vision and to work in partnership with the higher education institutions in the city.
“As a city we want to show that we are open for business, open for investment and open for development. I think we are making a strong statement on that.
“We have great sectors in areas like hospitality, culture and retail but we need to go beyond that to show that Liverpool isn’t just a great place to be a student, but a great place to be a graduate and a great place to build your life.”
Speaking about the organisation’s research, Manno Notermans, chief executive of Think Orion said: “University cities like Manchester, Liverpool and Birmingham all have several universities and produce cohorts of thousands of students per year, so to retain this proportion of students is indicative of the number of homegrown young people who choose to remain in the city to study, and also of the opportunities in employment and development that each city offers.”