The Austrian capital held the top position in 2018 and 2019, based on the survey of 173 cities carried out by the Economist Intelligence Unit.
The report said: “Stability and good infrastructure are the city’s main charms for its inhabitants, supported by good healthcare and plenty of opportunities for culture and entertainment.”
Auckland, which was last year’s number one most liveable city, dropped down the rankings to 34th due to New Zealand’s strict and isolating Covid restrictions.
Europe boasted six out of the top 10 most liveable cities in the world, with Copenhagen taking second place, followed by Zurich in third. Geneva came in sixth, Frankfurt in seventh and Amsterdam in ninth.
Canada had three cities in the top ten (Calgary – fourth, Vancouver – fifth and Toronto – eighth).
Manchester was the UK’s highest placed city, five places above London in 28th place.
At the bottom of the list, Damascus, Lagos and Tripoli were marked down due to ongoing conflict, and Kyiv dropped out because of the war in Ukraine.