Turning Point As More SMEs Unlock AI

Over a third of SMEs (35%) say they are actively using AI technology, up from 25% in 2024 – according to research by the British Chambers of Commerce, in partnership with Intuit, the global financial technology platform.

The research, featured in a new report, also shows appetite for more progress among SMEs, with 24% of responding firms saying they plan to adopt AI in the future. Only 33% no report having no plans to use AI, down from 43% last year.

Over 1,500 business leaders were surveyed online by the BCC’s Insights Unit during June and July. The BCC has been tracking SME use of AI for the last three years.

Although AI adoption is rising across all business types, the data shows some deep sectoral disparities. Almost half (46%) of B2B service firms, those in sectors such as finance, law and marketing – are using AI. That compares to just 26% of B2C firms and manufacturers. Around 60% of responding firms say they are using AI for content creation and knowledge work.

Despite higher AI use, many SMEs do not feel they are using the technology to its full potential. Just 11% of responding firms reported using technology to a ‘great extent’ to automate or streamline operations, while 42% say ‘to some extent’, 29% ‘to a minimal extent’, and 14% ‘not at all.

Shevaun Haviland, Director General of the British Chambers of Commerce said: “Our data shows more SMEs are plugging into AI – and that’s really encouraging news for the UK’s economic future."

“The pace of technological change is speeding up, not slowing down, and it’s crucial that all businesses are part of the digital revolution. Our survey shows the picture is not equal across all sectors and firms aren’t yet using the technology to its full potential."

“It’s crucial that the Government acts swiftly on the recommendations of the SME Digital Adoption Taskforce. Improving AI awareness, support and skills must be the focus."

“Getting this right will help firms drive forward economic growth in an increasingly digital world.”

Leigh Thomas, Intuit Vice-President Europe, Middle East and Africa: "We are seeing a decisive shift in recognition that AI is no longer a futuristic add-on, but a real-time lever for productivity and resilience. We're moving beyond a world of disconnected systems and siloed data, to a place where every part of a business can be seamlessly connected."

“However, the findings in this report reveal a widening divide between AI-ready firms and those struggling to keep pace. AI must become the lever SMBs pull to stay productive, unlocking financial clarity and agility."

“With the right integrated tools at their fingertips, SMBs won’t just keep pace with the AI revolution - they’ll drive it.”

Small Business Minister Blair McDougall MP said: “Often the discussion about AI focusses on huge multinationals, but this shows that the smaller businesses, who contribute so much to our economy, are a central part of the AI innovation story too. It’s great to see so many using technology to grow and create new opportunities”

“AI transformation is a crucial part of our mission to kickstart economic growth. We will continue to back businesses through our Plan for Change to improve productivity, boost competitiveness and drive prosperity across the UK."