In the era of globalization and rapid technological changes, human capital preservation and development are becoming an increasingly important factor of economic growth. These challenges are particularly acute for the European Union and the United Kingdom, which have faced declining competitiveness in the global economy in recent decades. In this context it's particularly important to analyse policies aimed at stimulating highly skilled migration carried out at different levels - including the municipal one. Having limited competencies in the field of migration policies, city authorities, nevertheless, are able to influence the dynamics and structure of migration by creating a comfortable urban environment, implementing housing policies, increasing transport accessibility, promoting employment of local universities' graduates, supporting return migration and providing other «soft measures» aimed at attracting highly qualified specialists and representatives of the creative class. This process, however, has both winners and losers. Many cities, primarily those located in the peripheral EU countries, unable to withstand competition face the growing problem of brain drain, which requires complex solutions involving not only city administrations, but also central authorities and supranational European institutions.