As the UK races to adopt AI technologies amid growing digital transformation efforts, the 2025 edition of Allianz Trade’s Global Survey reveals that a significant shortage of AI skills is emerging as a key barrier to growth. Here are the details;
Allianz Trade’s exclusive survey of over 400 UK companies found that almost a fifth (17%) cited lack of internal expertise or skilled workforce as the biggest challenge in increasing AI use.
With almost all UK firms (99%) saying they already use AI tools in some capacity (compared to 98% globally), furthering AI use remains high on boardroom agendas. More than two thirds (68%) are planning to ramp up their recruitment efforts specifically to grow headcount in AI skills over the next year. This expected surge in hiring further highlights the need to help close the skills gap and to build internal AI expertise and capability in British firms. In line with this, 84% of businesses are allocating up to 20% of their tech and IT budget to AI initiatives.
While lack of skills was a significant concern, data security and privacy risks were the most frequently cited as the biggest challenge to growing AI usage, affecting a significant 28% of UK businesses. This was followed by uncertainty about ROI and business impact (18% of respondents).
From managing inventories to predicting delays or blockages in their supply chain, use cases for AI in global trade are rapidly growing, and this shift is being felt by UK exporters. The report found that most firms (77%) currently use AI for supply chain monitoring, and data analysis and predictive analysis (77%). In comparison, only 29% of firms reported using AI to monitor supply chains this time last year.
Meanwhile, the survey highlighted a broader challenge facing UK businesses: 94% reported a general skills shortage in their industry. This overall skills deficit compounds the difficulty companies experience in recruiting for specialised AI roles, creating a double hurdle that could impact innovation and slow growth. The UK’s recently renewed collaboration with the EU on AI innovation and research further underscores the importance of developing strong AI skills domestically, as businesses and policymakers alike seek to unlock new opportunities, boost new jobs in the UK and increase efficiency through this cutting-edge technology.
“As more UK businesses integrate AI tools into their operations, it’s clear that the appetite for innovation is strong. Businesses are increasingly turning to AI to unlock new efficiencies at a time when longstanding trade arrangements are being tested. However, many are finding that a lack of relevant skills within their sector stands as a barrier to further adoption. We’ve heard directly from these organisations that to make the most of AI and continue growing with confidence, access to the right talent will be just as important as access to the technology itself. Bridging this skills gap will support the drive for innovation, productivity, and long-term growth in today’s competitive landscape,” said Sarah Murrow, CEO of Allianz Trade UK & Ireland.
UK exporters to pivot, reassess and press ahead in face of tariff uncertainty
Further data from the trade survey has found that UK optimism has sharply declined since US tariffs were unveiled on 2 April. Only 42% of firms now expect export growth, down from 85% beforehand.
89% of UK firms are renegotiating supplier and logistics contracts to manage costs, and only 20% of firms plan to absorb higher costs while 38% intend to pass them on in their pricing.
Asia Pacific is now the most popular region for both production site and supplier relocation and new export opportunities, surpassing North America.
UK businesses are among the most ready globally to deploy capital to curb the impact of increased tariff-related challenges. 60% of exporters are planning to diversify into new business lines and increase capital expenditure in strategic areas.
Maxime Darmet, Senior Economist for the UK, US and France at Allianz Trade, said: “As one of the few countries to have secured a trade deal with the US, the UK finds itself in a pretty unique position. While the reduction in the US-trade weighted tariff rate is a step forward, it applies to select sectors and still leaves UK exporters at a disadvantage compared to pre-Trump administration levels. With businesses still facing a lot of uncertainty, they may understandably be less optimistic, but they’re ready to pivot and find new opportunities where necessary. This balancing act will be crucial in the coming months, as the UK seeks to maintain, manage and build essential trade relationships with the US, EU and, increasingly, Asia.”
The full report, which captures responses from more than 4,500 companies across China, France, Germany, Italy, Poland, Singapore, Spain, the UK and the US, can be found here: Allianz Trade Global Survey 2025
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