The UK’s AI revolution needs human hands to succeed

As the reign of artificial intelligence (AI) continues to dominate business strategy meetings, the demand for AI skills has surged in the last few years. 

In January, the UK government announced its AI Action Plan, aimed at making Britain a leader in the developing AI industry. Prime Minister Keir Starmer also pledged to create over 13,000 jobs in the tech sector.

But despite the promises, businesses are struggling to find AI talent and address skills shortages, which could slow down the government’s lofty ambitions.

And while organisations are looking to bridge this gap through international talent, complicated legal requirements, strict immigration policies, and compliance risks could hinder their ability to access the skilled workforce they need.

AI talent is in demand, but not in supply

The demand for AI skills in the UK is growing rapidly, with 82% of small businesses facing pressure to adopt emerging technologies, according to a recent Startups survey of 531 business leaders. 

To feed the AI frenzy, many are looking for talented AI workers. According to recent search results on LinkedIn, there are over 9,000 AI-related job vacancies available across the UK.

But the market is falling behind. Research suggests a growing AI skills gap, as 34% of organisations are struggling to attract the right talent. HR platform Deel also reports that 23% of companies are most worried about their ability to fill AI roles this year.

Moreover, even for businesses that have adopted AI technology in the last year, 36% of them reported that their attempts to implement it have failed.

Matt Monette, UK County Manager at Deel, said: “The UK’s ambitions to be an AI superpower will hinge on whether organisations have the right skills to make that happen.

“Clearly, businesses are worried that isn’t the case and without the right people, they – and the wider British economy – will struggle to realise the benefits that AI promises.”

UK employers face barriers to international talent

With a notable skills gap in the UK, employers are now looking overseas for AI-related roles. 

The same study by Deel found that nearly half (43%) of business leaders are considering hiring internationally to close the skills gap. The top markets for sourcing hires include the US (51%), Europe (51%) and Canada (32%), although Asian markets like India and China are also popular talent hubs.

“Hiring from abroad can ease this pain point, letting organisations expand their nets for identifying the right skills for plugging technical gaps,” Monette added. 

“Not only does it bring in the talent necessary for today’s tech challenges but also sets the stage for sustainable growth in a world where workers are increasingly demanding flexibility to work from anywhere.”

Deel also reported that firms are concerned about the potential constraints that may restrict them from accessing global talent. 55% of organisations cited complex legal requirements as their main concern, followed by stricter immigration (52%) and compliance risks (50%).

UK immigration laws require international workers to earn a certain amount every month to be eligible for a work visa. In January, the minimum salary for most Skilled Worker visa applicants increased significantly by 82% from £26,200 to £38,700. 

As AI roles are often among the highest-paid in tech, professionals are likely to meet this threshold, in turn making it easier for firms to hire international talent despite the uplift.

Still, there’s also the challenge of different employment laws, visa processing delays and the costs associated with relocating international hires that could further complicate the recruitment process. There could also be difficulty in aligning international employees with company culture, time zone differences and language barriers.

“Government must prioritise AI education”, says CEO

John Paul Caffery, CEO of HR technology firm RAMP Global, says businesses should work to upskill their existing teams with ongoing training and development in the latest AI technologies.

The government, he adds, must also respond, to “prioritise investments in AI education and create policies that encourage collaboration between the private and public sectors”.

Other initiatives that Caffery calls for include simplifying the visa process for international employees and offering programmes for apprentices, graduates and entry-level workers.

“To further fuel innovation, there needs to be a focus on attracting top global AI talent”, Caffery concludes. “Simplifying the visa process for skilled AI experts would open doors to a larger talent pool and enhance global collaboration.

“At the same time, governments should support entry-level talent by funding internships, apprenticeships, and mentoring programmes, ensuring that the next generation of AI professionals can thrive in the evolving job market.”