The notion of most businesses being fully AI literate once sounded like the stuff of fiction. But as tech continues to advance, it’s clear that we’re closer than ever to realising that prospect. 

Schemes like the Government’s recently announced free AI Skills Boost programme are proof. As part of broader skills boosting targets, it has taken the step of making practical AI training available to every adult in the UK  – with the aim of upskilling 10 million workers by 2030.

Designed around everyday workplace tasks, the courses, hosted on the Government’s AI Skills Hub, lead to a virtual AI foundations badge, signalling baseline AI competency to employers. Rather than focusing on technical coding skills, emphasis is on practical use:  drafting content, automating routine admin, analysing information and using generative tools responsibly in day-to-day work.

At a time when smaller firms are already navigating hiring slowdowns and tighter margins, that level of accessibility is a game-changer for small to medium enterprises (SMEs). 

AI Skills Are Already Influencing Hiring

The labour market has begun to see positive outcomes from education like this. Employment Hero’s recent research shows that 62% of UK business leaders are creating or planning to create new roles in response to AI, while a further 22% are reshaping existing ones. 

The same research found AI skills are now the number one capability employers look for in new candidates, with “Chief AI Officer” emerging as the C-suite role leaders most want to introduce. Taken together, the data suggests businesses don’t just need AI systems – they need people who understand how to work with them too.

Academic research is beginning to mirror this trend. Studies examining recruiter behaviour show candidates who list AI skills on their CVs are more likely to receive interview callbacks across multiple industries, not just technology-focused roles. In practice, AI literacy is functioning as a hiring signal as much as a technical one.

From Job Anxiety to Skills Advantage

Public concern around AI replacing jobs hasn’t disappeared. Surveys, such as the Office for National Statistic’s November 2025 research in to how AI affects employment, consistently show a third of workers worry AI could reduce opportunities or make existing roles obsolete. That tension is part of why large-scale training initiatives are gaining traction.

Addressing some of those concerns, Technology Secretary Liz Kendall states: “Change is inevitable, but the consequences of change are not. We will protect people from the risks of AI while ensuring everyone can share in its benefits.”

The announcement follows a growing body of evidence showing AI adoption tends to shift tasks rather than remove entire roles. Where automation replaces routine processes, it often increases demand for oversight, coordination and judgement – the very areas foundation courses aim to strengthen. 

Closing a Skills Gap SMEs Feel Most

Against the backdrop of the UK’s skills gap, programmes like these are especially important. Government-backed analysis has warned of an AI skills shortfall that, by 2030, could hold UK businesses back from up to £400 billion in potential economic growth if adoption outpaces capability. Smaller firms are likely to feel that imbalance most acutely, with only 24.3% of micro-businesses using AI tools compared to 44.4% of large businesses. 

Free and standardised training won’t solve that on its own, but programmes at this scale can help narrow the gap. For SMEs, the benefit is often practical rather than theoretical. Staff who understand AI tools can reduce repetitive workload, improve accuracy and free up time for customer-facing or revenue-generating activity without requiring specialist hires.

For that to work safely, it’s important for SMEs to have clear AI policies in place so as to protect private data. Using AI, as Employment Hero’s UK Managing Director, Kevin Fitzgerald highlighted recently in an article for Startups Magazine, “works best when it complements human expertise – not when it’s treated as a replacement for it”. 

The Daily AI Blueprint: How to Use AI Every Day

• Spot the friction: Identify repetitive daily tasks (such as data entry, email sorting or scheduling) that eat up your time and target them for automation.
• Use what you have: Toggle on AI features in familiar platforms like Microsoft 365 or Google Workspace to draft documents and manage calendars without learning new software.
• Build a daily habit: Overcome fear by using tools like ChatGPT for low-stakes tasks to build confidence.
• Streamline people admin: Leverage AI in HR to answer policy questions instantly or screen candidate profiles automatically, potentially cutting hiring time from weeks to minutes.
• Follow the pilot loop: Don’t overhaul everything at once. Pick one specific task, set a measurable goal and track the results before scaling up.

For more information on how to get started with using AI at work, click here.