Artificial intelligence has created new employment opportunities for a majority of businesses in the West Midlands, according to the latest Lloyds Bank Business Barometer. The survey, which canvassed 1,200 firms across the UK, found that 63% of West Midlands companies reported that AI has generated new roles within their organisations. This figure places the region ahead of the national average, where 58% of businesses said the same.
Hiring for AI Roles
The barometer also indicated that 58% of West Midlands businesses are actively hiring for positions that require AI skills. This demand for talent is part of a broader race to secure expertise in the rapidly evolving technology sector. The survey suggests that local companies are increasingly integrating AI into their operations, from customer service to data analysis, and are seeking staff who can manage and develop these systems.
Dave Bhumbra, regional director for the Midlands at Lloyds Bank, said: “It’s encouraging to see so many businesses in the West Midlands embracing AI and the opportunities it brings. The creation of new jobs and the appetite for AI skills shows that the region is positioning itself as a leader in this field. However, the challenge now is to ensure that the right training and support is in place to help people develop the skills that businesses need.”
Skills Gap Concerns
Despite the positive job creation figures, the survey highlighted a significant skills gap. Nearly half of the businesses surveyed (49%) said they are struggling to find candidates with the necessary AI expertise. This shortage is particularly acute in sectors such as manufacturing, professional services, and information technology, where AI adoption is accelerating.
The findings come as part of a wider national trend, with the UK government and industry bodies pushing for more investment in digital skills training. The West Midlands Combined Authority has also launched several initiatives aimed at boosting digital literacy and AI proficiency among the local workforce.
Business Optimism
Overall, business confidence in the West Midlands remains resilient, with 72% of firms expressing optimism about their future prospects over the next 12 months. This is slightly above the UK average of 70%. The barometer also recorded a rise in planned investment in technology, with 45% of companies intending to increase spending on AI-related tools and infrastructure.
Bhumbra added: “Businesses are clearly seeing the potential of AI to drive growth and efficiency. The key is to convert this enthusiasm into tangible action, particularly in terms of upskilling the current workforce and attracting new talent. We are committed to supporting our clients in this journey, and we encourage other organisations to invest in their people to ensure the region’s long-term competitiveness.”
The Lloyds Bank Business Barometer is a monthly survey of UK businesses, providing insights into economic sentiment and employment trends. The latest edition underscores the growing importance of AI in the regional economy and the urgent need to address the skills gap to sustain momentum.
