A groundbreaking report from Google reveals that the UK could miss out on a £200 billion economic boost without urgent action to address its AI adoption gap. The AI Works study, released on 25 April 2025 by Google’s UK and EMEA President Debbie Weinstein, shows that two-thirds of UK workers have yet to utilise generative AI tools professionally.

The comprehensive analysis demonstrates that doubling AI usage could contribute £400 billion to the UK economy by 2030 through enhanced productivity. However, this transformative potential faces significant hurdles, with 66% of UK workers having never incorporated generative AI into their professional roles. The adoption gap is particularly evident among women over 55 and lower-income demographics, highlighting a concerning digital divide.

“This is a call to arms to equip workers with the tools they need,” states Weinstein, emphasising that half of the projected £400 billion growth depends on successfully bridging the adoption gap. Current AI users report significant efficiency gains, saving approximately 1.5 hours daily in their workflows.

The study identifies three primary barriers hindering widespread AI adoption. First, only 22% of employees receive employer-provided AI training, marking a decline from 28% six months prior. Second, stark regional disparities exist, with London-based firms leading at 82% AI prioritisation compared to 44% in Northern England. Third, cultural resistance persists, particularly among older demographics and smaller enterprises lacking AI resources.

To address these challenges, Google has proposed comprehensive recommendations focusing on accessibility across all demographics. These include implementing free, sector-specific AI training programmes for underrepresented groups, introducing tax incentives for businesses integrating AI into their operations, and embedding AI literacy within national education frameworks.

The report challenges common misconceptions about AI replacing human workers, instead positioning it as a collaborative tool to enhance human capabilities. For example, administrative staff using AI for routine tasks can redirect their efforts towards more valuable activities such as client engagement and innovative initiatives.

Looking forward, the UK’s economic trajectory heavily depends on its approach to AI adoption. As global competitors accelerate their AI investments, inaction today risks a £200 billion shortfall tomorrow, emphasising the urgent need for comprehensive action across the public and private sectors.

News Source: Google Blog