UK companies want to spend more on AI as skills shortages remain a problem

By James On Oct 3, 2024

New research from ServiceNow has revealed that a large majority (85%) of UK businesses plan to spend more on artificial intelligence, despite initial concerns about how ready their business is.

Based on responses from more than 2,000 EMEA executives, the company’s Enterprise AI Maturity Index shows that 86% of UK businesses are optimistic about AI’s positive impact on efficiency and productivity – substantially more than EMEA average of 76%.

That said, the report also shows that many companies get stuck in the early stages of adoption, where they continue to struggle with concerns about the technology.

British companies are keen to adopt AI

Around one in five (18%) UK companies were considered ‘pacers’ in AI adoption, meaning they had scored more than 50 out of 100 on an AI maturity test based on factors such as strategy, leadership and integration.

This puts Britain behind only the Middle East and Benelux (Belgium, Netherlands and Luxembourg) and aligns with the country’s ambition to become a global AI hub and leader.

The reason companies are excited to further develop their AI strategies is becoming clear: four in five (79%) believe the technology will help them grow their revenue. AI is also particularly attractive to customer-facing businesses, with even more respondents (85%) expecting it could improve their customer experiences.

However, as many countries are still in the early stages of AI adoption, key challenges continue to influence leaders’ decisions. More than half (57%) of UK businesses are still determining what AI skills they need, and 37% believe they don’t currently have the right talent mix. A third (34%) of executives also raised concerns about potential errors and inaccuracies in AI-generated content.

ServiceNow Group VP and GM for Great Britain and Ireland, Damian Stirrett, commented: “The race to put AI to work is still in its early stages. Yet it is clear that some organizations have already gained a head start in their adoption and integration.”

Looking ahead, ServiceNow says companies can prepare for AI deployment by hiring new talent and upskilling existing staff.