**UK’s Small Businesses Turn to AI to Bolster Growth and Competitiveness**
A surge of interest in artificial intelligence is sweeping through the UK’s small business sector, as more owners look to advanced technology as a catalyst for growth, productivity, and innovation. Recent research reveals that nearly two-thirds of small businesses across Britain are now incorporating AI tools into their operations, marking a significant shift towards digital transformation in the SME landscape.
The findings, compiled jointly by BT and Small Business Britain, shed light on how AI adoption is moving beyond theory and into practice. According to the report, 62 percent of small businesses have begun to leverage AI technologies in some fashion. The majority are utilising these tools within their marketing activities, where 47 percent report using AI to enhance campaigns, streamline communications, and reach broader audiences more efficiently.
Operations have also become a key area for AI integration, with 17 percent of SMEs implementing automation to manage workflows, logistics, and routine admin tasks. Meanwhile, a growing minority—8 percent—are harnessing machine-driven solutions to deliver improved customer service, from chatbots handling enquiries to AI-driven personalisation of support channels.
Despite this encouraging wave of technological uptake, the transition onto the AI bandwagon is not without its challenges. Over half of those surveyed (51 percent) identified a gap in hands-on AI knowledge and practical skills as their main obstacle. Many business owners admitted a desire for more tailored guidance in order to properly embed artificial intelligence into their everyday operations.
To address demand for accessible education, Small Business Britain and BT recently rolled out a complimentary ‘AI for Small Business’ training initiative. This popular course, attended by 500 small business representatives from across the UK, offered expert-led webinars and in-depth workshops. The aim was to demystify AI, showing how even owners with little technical background could harness its tools for tangible business benefits.
Michelle Ovens CBE, founder of Small Business Britain, emphasised the importance of inclusivity in the digital age: “It’s vital that entrepreneurs from every background have the confidence and resources to participate fully in the AI revolution,” she remarked. “Together with BT Group, we’re equipping small businesses with the practical advice they need, so they can seamlessly integrate AI for better efficiency and sustained growth.”
The course placed particular focus on the diverse applications of AI now available to SMEs. From generating written content and visual assets to automating planning and analysing customer data, new solutions offer the potential to dramatically reduce admin burdens and elevate strategic decision making. Organisers reported that attendees came away with actionable insights on customising AI tools to their specific needs, regardless of prior experience.
BT’s UK Business Chief Commercial Officer, Chris Sims, underlined how the trend signals a broader shift in UK business culture. “What we’re seeing is that AI is not just for the largest companies any longer. Small firms are embracing these innovations to work smarter, freeing up precious time for creativity, customer engagement, and growth,” he stated.
Co-founder of the Executive AI Institute, Jamie Bykov-Brett, who led several sessions during the programme, echoed that sentiment. “The AI revolution must be accessible to everyone, including those who may feel farthest from opportunity,” he said. “Running these workshops is my way of ensuring that AI is a tool for empowerment, not just for the few.”
As more small businesses seek to future-proof their models, industry commentators anticipate that demand for empowering digital skills—and practical, business-focused AI resources—will only continue to grow. The next chapter for Britain’s small businesses looks set to be defined by the inventive ways in which they adopt, adapt, and harness intelligent technology.
For additional details on the AI for Small Business programme, interested parties can visit smallbusinessbritain.uk/ai.