How UK SMEs are using AI in 2026
Written by Air IT
AI has exploded across the SME landscape. It’s in board discussions, team meetings, planning sessions, and every new product demo.
According to the latest British Chambers of Commerce (BCC) report, adoption is on the rise, but maturity isn’t keeping pace.
35 per cent of SMEs now report actively using AI technology, up from 25 per cent in 2024 – a notable jump in just one year.
Many SMEs are experimenting with AI, yet far fewer are seeing meaningful results. Another 24 per cent of SMEs plan to adopt AI soon, and the share of firms with no plans to use AI has declined sharply, from 43 per cent to 33 per cent.
“Businesses are using more AI, but they’re not necessarily getting the full benefit because the tools they use are often fragmented and unable to talk to each other.” - British Chamber of Commerce
Looking ahead, another 24 per cent of SMEs plan to adopt AI soon, while the proportion of firms with no plans has dropped sharply, from 43 per cent to 33 per cent.
The gap between trying AI and benefiting from it is widening and in 2026, it’s becoming visible. It will shape which SMEs gain a competitive advantage and which struggle to scale effectively.
Adoption numbers look positive, but they don’t tell the full story
More SMEs than ever are using AI to:
- Write content
- Handle administrative tasks
- Conduct research
- Speed up everyday workflows
All of these are useful, but none are transformative. Only a small proportion of SMEs are using AI to change how the business runs, to automate processes, reduce manual effort, accelerate service delivery, and remove internal friction.
According to the BCC, while adoption is rising, only around 11 per cent of businesses report using AI to a “great extent” to automate or streamline operations, with many more saying they use it only “to some extent” or minimally.
AI isn’t a tool – it’s an operational shift
SMEs that pull ahead aren’t just downloading the latest AI app. They’re reshaping their operating models around automation, modern systems, secure identities, and most critically, a strong data foundation. Successful AI solutions depend on high-quality, well-structured data to deliver real value.
They’re asking different questions:
- Where are we losing hours every week?
- What can we automate safely today, not in five years?
- How can we work smarter with the team we already have?
- Which decisions can AI strengthen, and where do we need guardrails?
- How do we design processes AI can actually support?
“AI is no longer on the horizon. It’s already reshaping UK business, often in ways that go unnoticed. Far from being futuristic or complex, AI is emerging as a practical ally for everyday business challenges.” - British Chamber of Commerce
This is the threshold many SMEs are crossing in 2026. AI is no longer “nice to have.” It’s becoming the backbone of how businesses scale, deliver, and compete.
How AI works when foundations are right
While many SMEs are still dipping a toe in AI, at Air IT Group, AI and automation are embedded in daily operations. The results show what’s possible when foundations are in place:
- 95 per cent of self-service requests complete in under five minutes
- 161 million+ automated actions run monthly across our services
- Over 2,000 automation scripts powering instant, consistent resolutions
- 34 per cent uplift in self-service usage after introducing AI-driven guidance
- 1,500+ internal hours saved monthly, improving capacity without adding headcount
- 300+ organisations using our automated service desk every day
These are real, production outcomes, not future-state projections. This is what “good” looks like when AI sits on strong operational foundations.
Why many SMEs struggle to get the same results
The BCC report highlights the barriers that hold SMEs back:
- Legacy systems and fragmented tools – AI can’t automate inefficiency; it amplifies it.
- Manual, inconsistent processes – if tasks are done differently each time, AI can’t make them reliable.
- Data scattered across apps – AI depends on structure, not silos.
- Teams unsure where to use AI – without clarity, usage stays shallow and sporadic.
- Weak security and identity controls – AI without governance introduces more risk than value.
These are operational, not technology issues. Until foundations are strengthened, AI will feel limited, no matter how sophisticated the tools are.
“The BCC report shows SMEs want to embrace AI, but most aren’t set up to use it effectively. The biggest gains come when AI is embedded into operations, not added on top. Strong foundations unlock speed, consistency, and capacity that manual processes simply can’t match.” - Peter Pendlebury, Chief AI & Automation Officer, Air IT Group
The shift many SMEs miss is simple: AI tools don’t deliver value, AI-ready operations do.
Two groups are emerging in 2026
The findings in this report reveal a growing divide: businesses are using more AI, but they’re not necessarily getting the full benefit because the tools they use are often fragmented and unable to talk to each other.
SMEs that “use AI”
- Test tools and features
- See small improvements
SMEs that “operationalise AI”
- Automate repeatable work
- Modernise core systems
- Improve service delivery
- Strengthen decision-making with structured data
- Make AI largely invisible because it is embedded into daily workflows
The first group saves minutes. The second group saves hours, weeks, and even entire roles of repetitive effort. This is the real competitive advantage AI creates for SMEs: the ability to grow without growing headcount at the same rate.
“There is a widening divide between AIâready firms and those struggling to keep pace." - British Chamber of Commerce
Where SME leaders should focus
The priority for 2026 is not more tools, bigger projects, or complex transformations. It’s building foundations that allow AI to work properly:
- Modernise core systems
- Automate routine, repeatable tasks
- Strengthen identity and security controls
- Clean up processes and data
- Provide clear, role-specific guidance
- Create consistency before complexity
With the right foundations, AI delivers what SMEs have been promised: faster work, fewer blockers, stronger security, better decisions, and more room to innovate.
The opportunity is huge, but timing matters
AI will not level the playing field; it will widen it. SMEs that move early, with strong systems, modern processes, secure identities, and clear direction will create a gap others can’t easily close. Those that wait, or rely on ad-hoc experimentation, will see slower, inconsistent returns.
2026 is the year SME leaders decide which side of that gap they will occupy
Air IT Group can help SMEs understand AI readiness, identify quick automation wins, and build a practical roadmap that matches their goals. AI is moving fast, those who move with it will feel the benefits quickly, while those who don’t will feel the gap just as fast.
Join our upcoming event to learn how SMEs can turn AI and automation into a strategic advantage. Register now