ONS data shows UK businesses are not deepening their use of AI, despite rapid advances. While overall AI take‑up has widened, the average number of AI tools per firm has risen only modestly from 1.4 to 1.6 since 2023, a figure that suggests limited transformative impacts for most adopters.

Large language models are the most common technology, followed by visual context creation. About 35 per cent of UK firms with more than 10 employees use AI, up from 12 per cent in September 2023, and the proportion rises to 48 per cent among large companies. Yet only a tenth of AI‑using businesses say they use it extensively, and 15 per cent report that more than half of their staff use AI daily.

The data also show that firms are more likely to employ AI to cut costs than to launch new products or markets. 60 per cent of respondents say they use AI to improve operational efficiency, while fewer than one in five use it for product development. Raoul Ruparel, director of Boston Consulting Group’s Centre for Growth, warned that the efficiency focus is “expected … but far from the most likely approach to generate long‑term returns.”

The low AI uptake in retail and hospitality, where job losses have been most pronounced, raises questions about whether the recent modest rise in GDP per hour worked reflects an AI‑driven renaissance or simply sectoral job cuts. In most industries, free tools dominate, except in tech, professional services and construction, where firms pay for software or develop in‑house models. Employment impact remains unclear, with creative and design roles most affected by image‑processing tools.