According to data from the Department for Business and Trade, 130 FDI projects landed in the region during 2024/25 – more projects than Northern Ireland and Wales combined.
This represents 9.4 per cent of the UK’s total FDI wins (1,345) – the largest share of all UK regions outside the capital.
A total of 5,821 FDI jobs were created by overseas investors in the same period – more than the South East and South West combined.
This success meant the West Midlands was also the second-highest performing region for job creation, after the North West.
West Midlands Mayor Richard Parker said: “Getting our economy firing on all cylinders is one of my top priorities and these figures show we’re delivering the good jobs and opportunities our young people deserve.
“This momentum builds towards the investment summit we are hosting with government later this year where we will showcase our strengths to attract even more global investment and new growth.
“With my Regional Growth Plan and support from the government’s Industrial Strategy, we’re demonstrating to the world how our talent, ambition and innovative spirit is making the West Midlands one of the best places in the UK to do business.”
Neil Rami, Chief Executive at West Midlands Growth Company (WMGC), said: “These latest FDI figures reaffirm the West Midlands’ standing as the UK’s strongest regional performer outside the capital.
“This resilience, in the face of challenging macroeconomic headwinds, underscores the value of our targeted investment strategy, sectoral strengths, and sustained commitment to infrastructure and skills.
“However, it would be remiss not to acknowledge the broader national picture. The UK’s share of European FDI has declined to a record low of 15 per cent, furthermore, the 12 per cent drop in UK project volumes is the steepest since the Covid-19 period.
“Global investors are becoming increasingly cautious amid geopolitical uncertainty – and the effects are compounded by a significant shift in capital flows towards Eastern Europe.
“As a nation, we must urgently refocus on enhancing our international competitiveness by addressing structural challenges, enabling regulatory certainty, and doubling down on innovation, clean growth, and skills to ensure the UK remains a leading destination for high-value investment in the decade ahead.”
Inward investment projects secured into the region in 2024/25 include multinational retailer Harvey Norman, which announced Birmingham as the home of its new store and UK headquarters.
Canadian cybersecurity company, Goldilock, expanded its manufacturing and testing facilities at University of Wolverhampton Science Park and specialist defence manufacturing firm, NMS UK will create 150 jobs at its Leamington Spa production facility.
The WMGC-led West Midlands Global Growth Programme, which provides bespoke support to streamline the UK investment process for international businesses, helped 17 innovation-led, high-growth international companies to create over 300 jobs in the region last year.