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Big news! Time Out's 2026 ranking of the best cities in the world has just dropped, and Melbourne – yes, our Melbourne – has jumped three places (from fourth in 2025) to take out the number one spot. Cue the applause, fireworks and confetti, stat!
It's the first time ever that an Australian city has topped the annual list, with Melbourne previously peaking in second spot a decade ago in 2016. And our humble little metropolis outshone some heavyweights on the way to the top this year, beating out global powerhouses Shanghai, Edinburgh, London and New York, which rounded out the top five.
Even better, it's a celebration all round for Australia, with Sydney ranking 21st and Adelaide coming in at number 29. And while we can't promise we won't gloat about this for the next year (sorry, Sydney!), it's still an poignant reminder that Australia really is an exceptional places to live, visit and explore.
So, how was this ranking compiled? Time Out surveyed more than 24,000 locals in 42 languages about where they live. These questions covered topics that included everything from food, nightlife and culture to affordability, happiness and the overall city vibe. A panel of more than 100 Time Out city experts from around the world were also asked to name the most exciting cities in the world right now. All data from 44 different criteria was combined to create the ranking.
Melbourne scored a strong overall ‘city rating’ as well as high ‘happiness scores’. The city ranked particularly high in local responses to statements including, ‘My city makes me happy’ and ‘I find joy in the everyday experiences where I live’. Locals also rated it very highly for criteria including diversity, liveliness, cultural activities, affordability of going out and how well it caters to Gen Z.
In a surprise to no one, a huge 94 per cent of Melburnians rated the food scene highly, 92 per cent praised the city's arts and culture, and strong approval from the younger generations helped rank the Victorian capital the third-best city in the world for Gen Z. And while we know no place is perfect, we’re pleased to see that Melbourne locals’ experiences of their home are positive overall.
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Melbourne really is a happening place to be. There’s the roll call of major sporting events, of course – think the Australian Open, the F1 Australian Grand Prix (both of which broke attendance records in 2026), AFL Grand Final and the Boxing Day Test. We've already spotlighted the city’s culinary prowess, but this is a place where people happily line up for more than an hour for a burger with a cult following or celebrate the most special occasions at a beloved 100-year-old restaurant.
Melbourne’s coolest streets and neighbourhoods are filled with hidden gems – from indie cinemas (two ranked among the top 100 in the world) and rooftop bars to vinyl shops and quirky galleries. And don’t let anyone tell you Melbourne is all personality over looks – we’ve got grand, heritage-listed buildings, laneways lined with colourful murals, world-class gardens and a river (the Yarra) that holds deep spiritual and cultural significance for local Indigenous communities. Plus, with the Metro Tunnel now open, it’s never been easier to get around the city.
Oh, and we're also about to dive head first into the gastronomic delights of the Melbourne Food and Wine Festival, laugh ‘til our abs hurt at the Melbourne International Comedy Festival and turn into floral fanatics at the Melbourne International Flower and Garden Show.
Then come winter, the NGV will host the largest-ever exhibition of Cartier jewels in a Melbourne exclusive; while spring will feature the first-ever regular season NFL game to be played in Australia, with the San Francisco 49ers and the LA Rams going head to head at the MCG.
In other words: buckle up, because this year could very well be Melbourne's best yet. And we can't wait to go along for the ride.
To check out the full list of Time Out’s 50 best cities in the world for 2026, head over here.
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