Widespread AI adoption across the economy could push UK GDP more than 10% higher by 2031, according to new analysis for the British Chambers of Commerce (BCC).
In last week’s Budget, the Chancellor announced over £700m in AI-related investment, mainly for infrastructure and security. But a new BCC book calls for the government to go much further by driving an ambitious business adoption strategy to fully realise AI’s potential.
The modelling looked at the impact of AI on UK GDP between 2027 and 2030, based on two AI adoption scenarios researched by Anthropic
- Higher adoption: If AI boosts productivity by 57% across 12% of work tasks by 2030, UK GDP would be more than 10% higher by the end of 2031, than it would otherwise be.
- Moderate adoption: If AI boosts productivity by 35% across 4% of work tasks by 2030, UK GDP would be around 2% higher by the end of 2031, than it would otherwise be.
The analysis comes as the BCC publishes its book of core leadership essays on the future of AI in the UK, in partnership with BDO. Experts from across business, technology, politics and academia were asked to identify ‘How the UK Can Become an AI Adoption Superpower’.
In the book’s foreword, the BCC’s Director General Shevaun Haviland calls on government to work with business on leadership, skills, investment and practical support to make the UK a leading AI adoption economy.
Headline contributors to the book include tech entrepreneurs Tabitha Goldstaub and Baroness Martha Lane-Fox, and Euan Blair, David Black from Google UK, Ollie Whitehouse of the National Cyber Security Centre and former Ministers Lord Ed Vaizey and Chloe Smith.
The publication forms part of the BCC’s wider programme of work on AI adoption which will include a major AI Adoption Summit in London on Tuesday 8 December.
It will bring together hundreds of business leaders to examine how adoption can turn into greater productivity and growth.
Shevaun Haviland, Director General of the British Chambers of Commerce, said:
“The AI revolution is already transforming the UK economy, but it’s crucial that both government and business seize the moment.
“Our new modelling shows going full throttle on AI adoption could leave the economy 10% larger by 2031. That’s a huge opportunity, but it’s not guaranteed.
“Realising the projected GDP boost from AI will depend on government and businesses working in partnership to fully embrace the new technology.
“Last week, the Chancellor announced some significant and welcome investment to strengthen AI infrastructure, security and use in public services.
“But we now need the same level of ambition on business adoption. That’s the missing piece of the AI jigsaw.
“So, how can the UK become an AI adoption superpower? That is the simple question at the heart of our new thought leadership book, published today. We’re proud to have brought together influential figures from across business, tech and politics to bring fresh ideas to this task.
“We need an adoption strategy that incentives investment, focuses on skills and is underpinned by a regulatory framework that addresses safety and security concerns.
“It’s crucial that government is now more ambitious on AI adoption, to unlock business ambition, and build the economic benefits we all want to see.”
Read the full BCC book here