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A new ranking has revealed the Towns and Cities in England where UK graduates are most likely to remain after completing their studies, revealing the effect of the:- ‘brain drain’ on rural areas and small Towns.

The study, conducted by student recruitment marketing agency Think Orion, analysed government data on several cohorts of students, calculating the percentage of University graduates who remained in the same Region where they sat their GCSE examinations.

The study also collected employment statistics and average annual income figures for each area, to understand why graduates are incentivised to stay or leave their home Towns.

Rural areas and smaller Towns had a disproportionately low graduate retention rate, with students having to move elsewhere for the purpose of higher education, and choosing not to return home after graduation.

This is in line with a phenomenon referred to as the:- ‘brain drain,’ where many UK Regions lose their graduates to London, as the capital offers stronger employment opportunities. However, Cities like Manchester and Liverpool also have a growing graduate retention rate, increasing this drain on rural graduates.

London had the highest graduate retention rate in England, at:- 84.2%, and is the only Region in the UK where University graduates are more likely to remain than non-graduate residents.

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.

In 2nd place is 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.

Liverpool takes 3rd place, retaining:- 76.26% of its graduates, just behind Manchester. With an average salary of:- £34,172 and an employment rate of:- 51%, graduates from the City have a good incentive to remain in their home Region.

Newcastle is the City with the 4th highest graduate retention rate in England. Around 72.6% of graduates from the area choose to remain living in Newcastle, where they can expect to earn an average salary of:- £34,667, with adult employment rates averaging 50%.

In 5th place is Birmingham, England’s second City, where an average income of:- £33,076 keeps 71.7% of graduates in the City. Employment rates among adults are:- 50%, but the large, well-connected City makes it a popular hub for commuters.

Sunderland is 6th, retaining:- 71.2% of its graduates. Around 52% of adults in Sunderland are employed, and the average earning among them is:- £30,977.

In 7th spot is Warrington and Wigan. High average earnings of:- £39,659 per year and an employment rate of nearly 60% among adults allows the area to hold on to:- 70.9% of its graduates, an impressively high rate.

Dudley is 8th, retaining:- 69.7% of its University graduates. Despite not having a University of its own, some nearby institutions offer opportunities to study in Dudley, and the Town is near Universities in:- Wolverhampton and Birmingham, meaning many students commute to study and choose to remain at home.

These geographical conveniences, plus an employment rate of:- 55% and an average salary of:- £32,677 encourage many young graduates to remain in Dudley.

Birkenhead is in 9th place, with a retention rate of:- 68.6%, an average income of:- £34,506, and an employment rate of:- 53%.

The final Region to make the Top 10 is Sheffield, with a retention rate of:- 68.1%. The adult employment rate in Sheffield is:- 53%, with an average income of:- £33,714, making the City a desirable place for graduates to settle.

The Top 10 areas in England for graduate retention:-

Smaller areas such as:- Blandford Forum and Gillingham, Cromer and Sheringham, and Street and Wells, experienced the worst graduate retention in the UK.

Manno Notermans, CEO of Think Orion, commented on the findings:- “The ‘brain drain’ from rural areas, small Towns, and even large University Cities to London is a concern for local authorities, as jobs requiring qualified professionals are often left unfilled. Relocating to London is an exciting opportunity for young graduates, with high employment statistics and average salaries providing a great incentive to move. However, a significantly higher cost of living awaits London dwellers, and excellent employment opportunities are available for students across the country. 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 home-grown young people who choose to remain in the City to study, and also of the opportunities in employment and development that each City offers. For Towns like Birkenhead and Dudley, retaining such a high percentage of graduates is an exciting indication that the Towns are popular with their residents, and are up-and-coming areas for career progression and industry."

The research methodology conducted by Think Onion to get these statists is as follows:-

Graduate retention data was taken from the Office of National Statistics, and calculated the retention rate of a Region by measuring the number of students who sat their GCSE examinations in each area, and determining how many of those graduated and then stayed in their home Town.
This data only contains individuals who took GCSE examinations between:- 2002 and 2012, and they were generally aged between:- 21 years and 33 years in:- 2018 to 2019, when their:- ‘Travel to Work Area’ (TTWA) was reassessed..
The Regions were then ranked on their retention percentage.
In addition, each TTWA was paired with representative local authorities to include:- average annual pay, and percentage of adults that are employed.

Sources:- OND.Gov.UK - OND.Gov.UK - OND.Gov.UK.