Texas is no longer among one of the top five states for business in the U.S. in 2023, according to CNBC’s annual Top State for Business study.
The business study, conducted since 2007, ranked Texas at #1 in 2008, 2010, 2012 and 2018, putting Texas behind Minnesota at #6 for this year.
The Top State for Business study still shows Texas is a competitive powerhouse for business, as it remains the second-largest economy in the U.S. behind California and the second-best economy after Florida.
The U.S. Bureau of Labor Statistics’s “The Economics Daily” reports Texas was the state with the largest percentage increase in employment from May 2022 to May 2023 at 4%.
CNBC also reported Texas tied for #1 in access to capital and #2 in the workforce category behind North Carolina.
The Top State for Business study also recorded worsening problems in Texas, such as infrastructure, education and quality of life.
The state fell to #24 this year from #15 in last year’s study for infrastructure, the second-most important factor in this year’s methodology.
The state also dropped to #35 for education from #21 in 2022′s study and had among the nation’s lowest per-pupil spending.
It also fared at No. 16 in cost of doing business from #12 in 2022, according to the study.
Higher cost of housing also worsened from #14 last year to #22 in this year’s report.
When it came to life, health and inclusion, Texas dropped to the last spot from #49 last year.
Read more about the study here.