UK Stands to Gain £550 Billion ($696 Billion) by 2035 through AI and Cloud Technology Adoption
Report Forecasts Significant Economic Growth and Technological Advancements
A new report commissioned by Microsoft reveals that the UK could generate £550 billion ($696 billion) by 2035 through the widespread adoption of artificial intelligence (AI) and cloud technology. The report, conducted by Public First, highlights AI’s potential to yield an average return on investment of over 5:1 over the next decade, translating to a £5 ($6.3) increase in the economy for every £1 ($1.3) invested by companies.
The projected economic growth is attributed to AI’s capacity to enhance individual productivity, improve workforce skills, minimize waste, accelerate scientific innovation, and facilitate the development of new products and services.
Despite being recognized as having the most advanced tech sector in Europe, the UK faces challenges in infrastructure, commercial awareness, and digital skills. Overcoming these bottlenecks is crucial to realizing the country’s full potential in the AI landscape. Delays in AI implementation could cost the UK £150 billion ($190 billion) by 2035.
Hugh Milward, Vice President of Corporate, External, and Legal Affairs at Microsoft, emphasizes the importance of strategic planning and investment: “The UK risks foregoing significant economic gain if we let progress slip over the next five years. Planning, power, and permitting are critical to unlocking the sector’s ability to invest quicker and make the most of the opportunity for the UK.”
To sustain momentum in AI adoption, recent initiatives like Microsoft’s £2.5 billion ($3.2 billion) investment in AI infrastructure and skilling in the UK aim to bolster the country’s position as a global leader in technological innovation and economic growth.