More than half (54%) of UK businesses say artificial intelligence has created new jobs, according to the Lloyds Business Barometer, as firms increasingly view AI adoption as central to growth, skills and competitiveness. The bank, which has branches in Birmingham, found that 58% of businesses plan to invest in AI skills.
AI skills gap and investment plans
While 54% of businesses say their workforce has the AI skills needed, 31% say it does not. The top four responses indicate that firms are seeing investment in skills as a priority: 43% are looking to introduce AI skills training, 32% are expanding existing training, 24% are increasing their focus on AI skills when hiring, and 21% are creating new AI-specific roles.
Overall, 61% of firms say they currently use AI, with just under half (46%) of domestically focused businesses more likely to use the technology, compared to 63% of firms operating internationally.
Larger firms lead AI adoption
The survey reported AI adoption among larger firms, with an average of 79% of businesses with a turnover above £10m saying they use AI. Nearly two-thirds of larger firms say their current workforce had the AI skills to meet business needs, with 77% planning to increase investment in AI, with the main driver being to boost productivity (74%).
Nearly six in 10 firms say that businesses that fail to adopt AI will be at a competitive disadvantage. International firms were more likely to agree than domestic-only firms, at 61% compared with 46%, suggesting AI is increasingly being viewed as a competitive necessity.
Competitive necessity and future outlook
Larger firms were more likely to see AI as essential for future success, with almost three-quarters (73%) of businesses with turnover of £10m or more saying that failure to adopt AI will be at a competitive disadvantage, compared with 54% of businesses with turnover below £1m.
Cost, data quality and skills are the biggest barriers to getting more value from AI, according to the report. The findings suggest that AI adoption is now a competitive necessity for UK businesses, with skills investment emerging as a key priority across firms of all sizes.
