Manchester has been ranked as the fourth-most attractive location for research and development (R&D) activities in the world.

A study by KPMG of 35 cities in ten countries found that for R&D investment, Manchester is behind the Canadian cities of Montreal, Vancouver and Toronto.

This means that Manchester is not only the top R&D city in the UK but is the most attractive location in Europe when it comes to investment.

Chris Fry, head of tax for KPMG in Manchester, said it is "absolutely fantastic" to see Manchester ranked so far ahead of European and global competitors.

"The R&D tax incentives available to businesses in the city and across the UK in general are indeed very attractive," he added.

Meanwhile, a separate study has found that the UK is second only to the US regarding research published in the world's leading journals.

Accoridng to the department for innovation, universities and skills, nine per cent of papers produced annually are from UK researchers.