I think as much as where you want to work is where you want to live. I know they seem as if they go hand in hand but longer term I think where you want to live is a stronger determinant. That factor is sadly not always rational and IMO depends a lot on the massive mindshare cities like London have.<p>For example, in Silicon Valley new workers are expressing a preference for San Francisco over San Jose and its neighboring towns. Here in the UK we also see the massive draw a very diverse and culturally rich city like London has over say Birmingham which whilst a great city just cannot compete as far as mindshare goes for new graduates.