London has added another impressive title to its name after being ranked the world’s smartest city in a new international study examining how major urban destinations use technology, artificial intelligence and digital services.

The British capital secured first place in Boston Consulting Group’s inaugural Intelligent Cities Index, which compared 61 major cities around the world.

What makes London the world’s smartest city?

The ranking goes beyond simply looking at how much advanced technology a city has. Instead, the study considers how effectively technology and digital innovation are being used to improve everyday life, support businesses and strengthen public services.

Cities were assessed across five broad areas, including outcomes for residents, long-term strategy, adoption of technology, government delivery and the wider environment available to support innovation.

London achieved an overall score of 85 out of 100, putting it five points ahead of its nearest competitors. Dubai, New York, Washington and Amsterdam were among the cities immediately behind the UK capital.

One area in which London performed particularly strongly was resident outcomes. This part of the assessment considers factors such as quality of life and economic opportunities, as well as how effectively a city supports employment, businesses and entrepreneurship.

Technology matters more than new infrastructure.

London’s position at the top may seem unexpected given that parts of the city rely on infrastructure that has been in place for generations.

However, according to BCG managing director and partner Arturs Smilkstins, becoming an intelligent city is not necessarily about having the newest physical infrastructure. What matters is how effectively technology, AI and digital services are used to improve existing systems and make them work better for both residents and businesses.

London’s broad performance helped it secure the top position, with strengths ranging from economic opportunities and quality of life to government services, technology adoption and its established innovation ecosystem.

London is investing further in AI.

The ranking arrives as London continues to prepare for an economy increasingly influenced by artificial intelligence.

Mayor Sadiq Khan recently announced £18 million in funding intended to help young Londoners develop the skills needed to enter an AI-driven employment market. The initiative forms part of efforts to prepare the capital’s workforce for technological change and help London play an active role in the transition.

For visitors, London may be best known for landmarks such as Big Ben, Buckingham Palace and Tower Bridge, but this latest ranking highlights another side of the capital. Behind its centuries of history, London is increasingly using modern technology and digital services to shape how the city works.

And according to BCG’s new global index, it is currently doing that better than any other major city in the world.