Over half of UK SMEs set to adopt AI in the next year

A new report shows that 52 percent of UK SMEs are already using or plan to adopt AI tools within the next 12 months.

The study, from fintech company SumUp, is based on a survey of 750 business owners and decision makers within small UK businesses and finds that 27 percent see AI mostly as an opportunity, highlighting its potential to drive growth or increase efficiency.

This reflects a degree of confidence, with 43 percent of business owners reporting a stronger business performance this year compared to last. 20 percent describe themselves as very confident about the next 12 months, expecting their business to experience strong growth and success. Though this figure is a slight decline from 24 percent in 2024.

The role of AI and emerging technologies sees a largely optimistic response too. In addition to the 52 percent with solid plans 18percent are interested and may consider adoption after further research. A further 22 percent acknowledge both the opportunities and risks associated with the technology.

However, not all SMEs are fully convinced. Almost one in five (19 percent) say they view AI mostly as a threat, fearing potential for automation and the potential to replace aspects of their business. Meanwhile, nine percent expect it to have minimal impact in the near future.

Digital transformation is a priority too, 35 percent of small business owners and decision makers believe that embracing innovative technology, improving their digital presence, and staying ahead of digital trends is very important to their long-term success. Whether through social media or digital payments, businesses are recognizing they need to modernize to stay competitive. 

A further 33 percent say digital transformation is somewhat important, highlighting a measured approach and that they are taking small steps to improve their technology, although other business priorities take precedence. Only 14 percent say technology is not a major priority, showing that the vast majority of SMEs see value in staying ahead of digital trends.

Corin Camenisch, product marketing lead at Sumup says:

As champions for small merchants, we conducted this survey to discover the confidence levels of small business owners and decision makers in the UK to better understand the challenges they face, gauge their optimism about their future, and identify areas where support for SMEs might be needed. 

Overall, confidence levels of small business owners and decision makers across the UK are high. This positive outlook suggests that small merchants are prepared to navigate potential uncertainties and continue to thrive.

The full report is available from the SumUp site.

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