Mackeral all things being equal, I would always advise students to go to the most selective universities.
Employers do regard them more highly.
And to some extent I think it's fair they do. The calibre of student will be higher. Obviously there will be notable exceptions (such as yourself), but generally the truth holds.
A higher calibre of student, means a higher quality of learning because the collegiate environment of most courses is affected. Put simply, put a lot a clever people in a room and the level of discussion will be more challenging.
I teach at two universities. One highly selective, one less so. Whilst there are able students are the later, the difference in intellect is marked. As is the work rate.
Also, the most selective universities attract a lot of good staff. Again there will be exceptions, but you get my drift.
I think the main caveat to this, is when a less selective university is very well known and regarded for a specific course. People in the industry will know this!