CBI Calls for AI Adoption to Become Britain’s National Economic Priority

News Desk
CBI Urges UK to Make AI Adoption a National Priority
Credit: Alamy

Key Points

  • The Confederation of British Industry (CBI) has called on the Government to designate the next decade as “Britain’s AI adoption decade”.
  • The increasing “execution divide” between enterprises that are scaling up their use of AI and those remaining in “pilot mode” is a concern, according to a joint report from the CBI and Oliver Wyman.
  • According to the research by Oliver Wyman Forum and New York Stock Exchange, 49% of AI-leading companies are on track with or exceeding the expected ROI, while only 15% are behind the curve.
  • CBI chief executive Rain Newton-Smith has urged business and Government to make AI adoption a national economic priority.
  • The CBI would like to see the creation of a business AI adoption delivery group, a voluntary responsible AI adoption code, investment in AI skills, a national AI literacy standard, and simplified regulation.
  • The report covers the appointment of Kanishka Narayan as the first-ever UK minister for artificial intelligence by Prime Minister Andy Burnham.
  • The Government is determined to become the premier adopter of AI in the G7 and aims to provide 10 million people with AI skills by 2030, Mr Narayan says.
  • British industry will be transformed by AI, but the country has time to prepare, according to Professor Simon Johnson, at the UK’s AI Economics Institute.
  • 58% of companies believe that AI has brought job opportunities to their organisations, while 31% report that employees aren’t skilled enough to take advantage of these opportunities, according to separate research from Lloyds Banking Group.
  • According to Lloyds’ survey of 1,200 UK businesses, 61% of organisations are already leveraging AI, and the rate of adoption is even higher among those with a global focus (63%) compared to those with a domestic focus only (46%).

London (Britain Today News) August 19, 2026 — The rollout of artificial intelligence must be made a national economic priority, an influential business group has said, warning that companies need to move beyond “pilot mode” or risk being left behind in the global race to adopt the technology.

The Confederation of British Industry (CBI) has called on the Government to make the next ten years Britain’s “adoption decade”, placing AI at the centre of its strategy for the economy and the nation’s workforce. The call comes as part of a wider push by the business group to close what it describes as a widening gap between companies that are successfully scaling AI across their operations and those still testing the technology in isolated pilot schemes.

Why Has the CBI Called for an AI “Adoption Decade”?

The CBI’s intervention is rooted in concern that the UK risks falling behind international competitors if businesses do not move quickly from experimentation to full-scale deployment of AI tools. In a report published jointly by the CBI and Oliver Wyman, the organisations warn of a growing “execution divide” separating companies that have embedded AI throughout their operations from those that remain stuck testing the technology without scaling it up.

The CBI argues that treating AI adoption as a national priority, rather than leaving it to individual firms to navigate alone, would help Britain compete more effectively on the world stage while ensuring the benefits of the technology are spread more evenly across the economy.

What Does the Research Say About the Gap Between AI Leaders and Laggards?

According to research conducted by Oliver Wyman Forum in partnership with the New York Stock Exchange, the divide between AI leaders and laggards is already stark. Almost half of firms leading the way in AI adoption — 49% — report that they are meeting or surpassing their expected return on investment. By contrast, only 15% of businesses that have fallen behind in rolling out AI say the same.

This gap, the CBI argues, illustrates the scale of the opportunity being missed by companies that fail to scale their AI use beyond small trials, and underlines why it believes urgent, coordinated action is required across Government and industry.

What Has Rain Newton-Smith Said About the Need for Action?

Rain Newton-Smith, chief executive of the CBI, has been direct about the scale of the challenge facing British business. She said:

“The next chapter of AI won’t just be defined by what we invent, but by how quickly we can put it to work at scale.”

She added:

“Britain now needs to treat AI adoption as a national economic priority.”

Ms Newton-Smith went on to say:

“Government and business should set a shared ambition to make the UK the best place in the world to adopt AI responsibly, and then relentlessly focus on delivery.”

She continued:

“That means moving beyond pilots and putting AI to work across our economy, giving businesses the confidence to invest and workers the skills and security to embrace change.”

What Is the CBI Actually Asking the Government to Do?

The CBI’s plea is for ministers to work in partnership with business, workers and civil society to accelerate the adoption of AI, build public confidence in the technology, and ensure it delivers better jobs, higher living standards and stronger growth in every part of the country.

Specifically, the CBI wants the Government to:

  • Set up a dedicated business AI adoption delivery group.
  • Lay out a voluntary responsible AI adoption code, alongside a public pledge for businesses to sign up to.
  • Invest in AI skills at every level of the workforce.
  • Develop a national AI literacy standard.
  • Introduce easy-to-navigate regulation surrounding the technology.

What Would Success Look Like According to the CBI?

Ms Newton-Smith framed the stakes in terms that go beyond technology for its own sake. She said:

“If we get this right, the prize won’t be measured in technology alone – it will be measured in better jobs, rising wages, stronger businesses and higher living standards.”

The framing reflects the CBI’s broader argument that AI adoption should not be viewed purely as a matter of corporate efficiency, but as a lever for improving living standards and economic resilience across the country.

How Has the Government Responded to the CBI’s Report?

The report lands shortly after Prime Minister Andy Burnham appointed Kanishka Narayan as the UK’s first dedicated AI minister, a move that signalled the Government’s intention to give the technology greater priority within its economic strategy.

Responding to the CBI’s findings, Mr Narayan described the report as a “welcome contribution” to the debate on how to realise AI’s full potential.

He said:

“We are committed to making the UK the leading adopter of AI in the G7.”

Mr Narayan added:

“That is why we are working with industry to give 10 million workers AI skills by 2030 and investing more than £200 million to support workers and businesses in adopting the technology.”

Why Does Professor Simon Johnson Say Britain “Has Some Time” to Adapt?

Not everyone views the pace of change in the same urgent terms as the CBI’s report suggests. Professor Simon Johnson, chair of the UK’s AI Economics Institute, has said that while the rise of AI will bring about an “intense” industrial transformation, Britain is not yet running out of time to prepare for it.

Professor Johnson said:

“This technology is arriving, and it’s arriving fast. But I think the companies are exaggerating.”

He continued:

“They are obviously trying to attract and impress investors. The technology is impressive, but we do have some time.”

Professor Johnson added:

“We have time if we act now to prepare and to build a stronger, more resilient economy with more good jobs, that incorporates AI, and that’s empowered by AI; the key thing is to avoid getting run over by AI.”

His comments suggest a more measured reading of the AI transition than some corporate messaging implies, while still endorsing the CBI’s core argument that preparation cannot be delayed indefinitely.

What Does Separate Research From Lloyds Banking Group Reveal About AI’s Impact on Jobs?

The CBI’s report is not the only recent study to examine how AI is reshaping British business. Separate research by Lloyds Banking Group has found that more than half of firms — 58% — believe AI has created jobs within their organisation. However, almost a third of businesses, 31%, say their workforce does not yet have the skills needed to work effectively with the technology.

This tension between AI’s potential to create employment and the current skills shortfall echoes the CBI’s own call for greater investment in AI literacy and training across the workforce.
Explore More about Business:
Frasers Raises Hugo Boss Stake to Nearly 48% After Takeover Offer
Lactalis Agrees to £988m Deal to Acquire Saputo’s UK Dairy Business

How Widespread Is AI Use Among UK Businesses Right Now?

The Lloyds survey, which covered 1,200 UK businesses, found that 61% of firms currently use AI in some form. Adoption is notably uneven depending on a company’s international exposure: just under half of domestically-focused businesses, 46%, report using the technology, compared with 63% of firms that operate overseas.

The disparity suggests that businesses trading internationally may feel greater competitive pressure to adopt AI tools, while domestically-focused firms could be at greater risk of falling into the “execution divide” the CBI has warned about.

What Happens Next for Britain’s AI Strategy?

With the CBI pushing for a formalised national strategy, a newly appointed AI minister in post, and independent economists urging measured but urgent preparation, the coming months are likely to see further debate over how Britain balances speed of adoption with responsible implementation. The CBI’s proposed delivery group, voluntary code and literacy standard represent concrete starting points, but their success will depend on how quickly Government, business and workers can align around a shared approach.

For now, the message from the CBI is unambiguous: the “adoption decade” must begin without delay if the UK is to secure the economic benefits of AI while avoiding the risks of being left behind.