UK businesses wary of AI adoption risks

UK businesses wary of AI adoption risks

Over half of UK businesses will not adopt AI in 2025. A new survey from technology firm boxxe finds widespread scepticism around AI security, affordability, and integration — even as government efforts intensify to support AI skills development.


More than half of UK businesses do not plan to adopt artificial intelligence (AI) within the next year, according to a new survey by enterprise technology firm boxxe.

The findings show that 57% of UK business leaders have no intention of integrating AI by the end of 2025, with significant concerns over security, affordability, and complexity remaining top barriers.

The research — which surveyed 1,880 senior executives across the UK between June and December 2024 — reveals that 56% of businesses do not trust AI with data security or privacy. A similar proportion (50%) report a lack of trust in AI decision-making processes, while 46% cite cost as a major barrier to adoption.

According to boxxe’s acting Chief Services Officer, Chris Carlisle, the findings illustrate the tension many organisations face in weighing innovation against operational feasibility.

“Our findings show that organisations across the UK are currently facing critical trade-offs in balancing innovation and operational feasibility,” Carlisle said. “Despite the momentum behind AI adoption, significant barriers remain, especially for small businesses. One major factor continues to be the high initial investment cost of implementing AI solutions.”

He added that AI’s value typically emerges over the long term — which may conflict with business models that expect quicker returns.

Despite popular narratives linking AI to job losses, the report finds that only one in eight UK businesses (12%) are concerned about AI replacing human workers. Instead, 44% of leaders expressed concerns about integration complexity, while 71% did not describe themselves as early adopters of technology.

Carlisle noted that while AI is not just a tool for defence — it can also become a target — businesses must now contend with emerging threats like data poisoning and AI-targeted cyberattacks.

“Working with certified experts can help identify the unique challenges you face and then collaboratively craft the bespoke cybersecurity solutions you need,” he said. “Outsourcing cybersecurity to a specialist firm frees up your internal IT team to focus on higher-value business activities.”

The report arrives as the UK government rolls out its AI Opportunities Action Plan, which aims to address talent shortages and boost AI adoption across sectors. Measures include scholarships, university programme expansions, and apprenticeship schemes — all targeting delivery of tens of thousands of AI-trained professionals by 2030.

Carlisle recommends that C-suite leaders take targeted cybersecurity and data risk management training to help improve confidence and address remaining concerns about AI suitability.


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