Recent research from business insurer QBE reveals that 95% of UK companies have either adopted or are actively exploring artificial intelligence technologies, reflecting a striking rate of digital transformation across the country´s commercial landscape. Despite this enthusiasm, 80% of respondents expressed concerns about rising cyber threats, and a significant 53% suffered a cyberattack within the last year, highlighting the dual-edged nature of technological progress.
The QBE Control Risks Report projects a 50% increase in significant UK cyber incidents by the end of 2025, correlating the surge to increasing digital adoption. While 87% of businesses anticipate artificial intelligence will benefit their operations and 86% expect it to drive broader economic growth, the risks are palpable. Supply chain exposure is prominent, with over half of reported cyberattacks traced back to suppliers, and in 16% of cases disruptions lasted a full business day or more. Financial losses can be substantial, and deepfakes have emerged in close to 10% of successful attacks, in some instances with multimillion-dollar consequences.
The UK leads Europe’s artificial intelligence market, valued at £72.3 billion, ranking just behind the United States and China globally. While artificial intelligence promises efficiency and economic value, the technology is also exploited by criminal groups for sophisticated fraud and extortion. In response, 74% of businesses plan to increase their cyber security budgets, though 16% admit to having no incident response plan at all. QBE urges companies to evaluate cyber risk closely, maintain up-to-date systems, monitor networks, provide regular staff training, and reinforce supplier vetting. The firm also advocates adhering to the UK Government’s new Code of Practice for the Cyber Security of Artificial Intelligence, stressing resilient data controls and safeguards across the AI lifecycle. Cyber portfolio manager David Warr warns that even as artificial intelligence enhances defences, it also increases attack complexity, making comprehensive, continuous vigilance essential for UK businesses navigating this swiftly evolving landscape.
