How fast is organisational AI adoption growing?

Stanford HAI’s AI Index 2025 reports organisational AI use rose from 55% in 2023 to 78% in 2024, with generative AI use in at least one business function rising from 33% to 71%. UK ONS survey data also shows a steady upward trend by business size.

Why do leaders hesitate to scale AI programmes?

Common barriers include difficulty scaling use cases beyond pilots, workforce skill gaps, and immature governance. Surveys such as KPMG’s AI Quarterly Pulse consistently rank scaling and skills alongside security and risk management as top priorities.

Where do AI-related cost savings appear first?

Industry reporting often highlights service operations, supply chain, and software engineering as early areas where measurable savings appear — typically from well-scoped automation rather than organisation-wide transformation in quarter one.

What is a sensible first step for a Midlands SME?

Choose one repetitive workflow with clear metrics, establish a baseline, deploy with human sign-off and escalation paths, then review at 30–60–90 days before scaling. Regional support programmes can help with readiness, but delivery still needs ownership and measurement discipline.

// Article · 13 April 2026 · Updated 15 April 2026

Agentic AI adoption in the Midlands: momentum is real, caution is rational

A data-led view for teams across the East Midlands — including Leicester, Derbyshire, and Leicestershire. We cover where adoption stands, why leaders still hesitate, where savings tend to appear first, and what responsible rollout looks like.

Many Midlands organisations are now past the “should we use AI?” stage. The harder question is how to move from experimentation to repeatable, governed operations — especially when demand is rising but delivery confidence is still uneven.

Short version: adoption is rising quickly, but risk and execution concerns are valid. The strongest programmes combine workflow-level ROI goals with clear governance and human oversight.

Adoption is accelerating

Stanford HAI's 2025 AI Index reports organisational AI use increased from 55% in 2023 to 78% in 2024. The share of organisations using generative AI in at least one business function increased from 33% to 71%.

UK trend data also points upward. The Office for National Statistics reports around 25% of UK businesses were using some form of AI by late December 2025, with usage at 44% among larger firms.

Why leaders are still nervous

Most hesitation is operational, not ideological. KPMG's AI Quarterly Pulse shows 65% of leaders cite scaling use cases as a top barrier to ROI, and 62% cite workforce skill gaps.

Governance is central: 91% of respondents in that pulse say data security, privacy, and risk management will be integral to AI strategy in the coming six months. That matches what delivery teams see day to day: plenty of pilot energy, but control frameworks that still need hardening.

Where cost savings appear first

The Stanford AI Index notes measurable savings among AI-using organisations by function: 49% in service operations, 43% in supply chain management, and 41% in software engineering.

Important nuance: most reported savings are currently at lower levels (often under 10%). That is still valuable. It indicates that well-scoped projects can generate early returns without overpromising enterprise-wide transformation in quarter one.

Why the local Midlands context matters

The University of Leicester's Space Park Leicester launched REALM in 2026, a service for space-optimised machine learning backed by UK Space Agency funding. That is a clear indicator that advanced AI capability is growing in-region — relevant to supply chains, advanced manufacturing, and research-led businesses across Leicestershire and neighbouring counties.

At SME level, Digital Leicestershire and local Growth Hub partners have promoted free AI readiness support for Leicester and Leicestershire businesses, highlighting the regional push from awareness to implementation. Similar programmes exist across the East Midlands; the pattern is consistent: readiness support is available, but execution still depends on workflow clarity and governance.

What to do next (practically)

Pick one workflow that is repetitive, measurable, and currently expensive.
Record baseline metrics before making automation changes.
Deploy with explicit escalation paths and human sign-off points.
Review outcomes after 30-60-90 days, then scale only what proves value.

If you want help scoping a first workflow for local or cloud delivery, email hello@syncbridge.co.uk.

Related from SyncBridge

For delivery sequencing and KPI discipline, see Agentic AI for Midlands SMEs: where to start and KPIs for AI pilots that hold up in month three. For how we engage, start with agentic AI consultancy and our Midlands & Leicestershire delivery notes — or Leicester if you are city-based.

Sources and stat mapping

Each figure below is tied to the source we used when drafting this note.

Stat: Organisational AI usage increased from 55% (2023) to 78% (2024).
Source: Stanford HAI, AI Index 2025 (Economy).
https://hai.stanford.edu/ai-index/2025-ai-index-report/economy

Stat: Generative AI use in at least one business function increased from 33% (2023) to 71% (2024).
Source: Stanford HAI, AI Index 2025 (Economy).
https://hai.stanford.edu/ai-index/2025-ai-index-report/economy

Stat: Around 25% of UK businesses using AI; 44% among larger businesses.
Source: Office for National Statistics, Business Insights and Impact on the UK Economy (8 January 2026 release).
https://www.ons.gov.uk/businessindustryandtrade/business/businessservices/bulletins/businessinsightsandimpactontheukeconomy/8january2026

Stat: 65% cite scaling as a barrier to ROI; 62% cite workforce skills gaps; 91% prioritise data security, privacy, and risk management.
Source: KPMG AI Quarterly Pulse Survey (Q1 2026).
https://assets.kpmg.com/us/en/articles/2025/ai-quarterly-pulse-survey.html

Stat: Cost savings reported by function: 49% service operations, 43% supply chain, 41% software engineering.
Source: Stanford HAI, AI Index 2025 (Economy).
https://hai.stanford.edu/ai-index/2025-ai-index-report/economy

Local context: Space Park Leicester REALM launch; local AI readiness support activity.
Sources:
https://le.ac.uk/news/2026/february/ai-realm-space-optimised-machine-learning
https://digital-leicestershire.org.uk/news/free-support-for-leicester-and-leicestershire-businesses-assess-your-ai-readiness/