Trust concerns slow Artificial Intelligence projects at medium and large firms

Trust concerns are increasingly delaying Artificial Intelligence rollouts at medium and large businesses in the UK and US. Data privacy, security, explainability, and model transparency now weigh more heavily on buying decisions than regulatory uncertainty.

Trust concerns are slowing Artificial Intelligence adoption across medium and large businesses, with many organisations pausing projects despite continued pressure to generate value from the technology. Gong found that 58% of medium and large businesses have stalled Artificial Intelligence projects, with a trust gap cited as the main reason. The findings were based on a survey of 2,056 business leaders in the UK and US, alongside Gong Labs’ analysis of more than 25 million sales interactions processed on its platform.

Among UK respondents, 52% said Artificial Intelligence projects had stalled, compared with 63% in the US. On average, 46% of planned Artificial Intelligence investment had been paused – 47% in the UK and 44% in the US. Trust concerns ranked above regulatory uncertainty in shaping whether businesses proceed with spending. Data privacy and security were cited by 34% of respondents as the main barrier to adoption, followed by explainability at 30% and model transparency at 28%. Regulatory uncertainty followed at 27%.

Businesses also expressed concern about weak returns and competitive pressure. Three-quarters of respondents said their organisations were not getting enough value from Artificial Intelligence, including 70% in the UK and 80% in the US. Gong Labs’ analysis of sales calls pointed to the same pattern. One in four calls referenced security, while uncertainty around training data and how Artificial Intelligence systems learn emerged as the most commonly discussed privacy and security issues. Buyers are increasingly focused on whether vendors can explain their systems, protect data, and set clear limits on use.

Explainability was identified as the leading assurance that would help businesses adopt Artificial Intelligence tools with confidence, cited by 26% overall and 27% in the UK. The ability to explain guardrails for protecting data followed at 25%. Security guarantees built into products and third-party audits or certification were each cited by 23%. A further 22% said transparency over training data use and model logic would help build confidence. The results point to a tougher sales environment for software suppliers, particularly in regulated sectors where questions around auditability, security design, and output generation can determine whether projects move beyond trials and into broader deployment.

52

Impact Score

EU Artificial Intelligence Act omnibus deal delays high-risk rules

A provisional EU agreement would push back key high-risk Artificial Intelligence Act deadlines while keeping major transparency duties on track for 2 August 2026. The deal also adds a new ban on non-consensual intimate imagery and child sexual abuse material generated by Artificial Intelligence systems.

UK and EU Artificial Intelligence regulatory outlook for May 2026

The UK is moving ahead with targeted Artificial Intelligence measures in policing, online safety, cyber security and copyright policy, while the EU is refining how the EU Artificial Intelligence Act will apply in practice. Consultations, new offences and implementation deadlines are shaping the next phase of compliance on both sides.

Germany sets out national implementation of the Artificial Intelligence Act

Germany has published a draft law to implement the European Artificial Intelligence Act through new supervisory structures, clearer institutional responsibilities, and measures designed to support innovation. The proposal puts the Federal Network Agency at the center of enforcement while preserving sector-specific oversight in sensitive fields.

Contact Us

Got questions? Use the form to contact us.

Contact Form

Clicking next sends a verification code to your email. After verifying, you can enter your message.