Edinburgh’s economy

The economy of Edinburgh is largely based around the services sector; mainly banking, financial services and tourism.

Banking has been a part of the economic life of Edinburgh for over 300 years, with the establishment of the Bank of Scotland by an act of the original Parliament of Scotland in 1695. Today, Edinburgh has emerged as Europe’s sixth largest financial centre. The Royal Bank of Scotland, headquartered in Edinburgh, is the fifth largest bank in the world.

Brewing, publishing, and electronics have had a longstanding presence in the Edinburgh economy. Whilst brewing has been in decline in recent years with the closure of Scottish and Newcastle’s Fountainbridge Brewery in 2005, their company takeover of Caledonian Brewery sees it remain as the largest brewer. Scottish and Newcastle retain their headquarters in the city.

Tourism is an important economic mainstay of the city. As a World Heritage Site, tourists come to visit such historical spots as Edinburgh Castle, the Palace of Holyroodhouse and the Georgian New Town. The number of tourists is bolstered in August with the presence of the Edinburgh Festivals, which generate in excess of £100m for the Edinburgh economy.

As the centre of Scotland’s devolved government, as well as its legal system, the public sector plays a central role in the economy of Edinburgh with many departments of the Scottish Executive located in the city as well as the Scottish Parliament. Other major employers include NHS Scotland and the City of Edinburgh Council.