• Swindon & Wiltshire Tech
• Tuesday June 24 2025

Region’s businesses say greater AI adoption will drive growth

More than half of businesses in the South West say AI adoption will be a key growth driver in their local economy, with many reporting AI-related increases in productivity and profitability.

That’s one of the key findings of the latest Business Barometer from Lloyds.

Of the 50 per cent of the region’s businesses already using AI, 87 per cent have seen the technology increase their productivity, and 88 per cent have seen it improve their profitability.

Firms are most commonly using off-the-shelf AI platforms to improve efficiency (59 per cent) or to automate some of their processes (36 per cent).

Looking ahead, 74 per cent of the South West’s businesses plan to invest more in AI over the next year, with nearly a third (31 per cent) of non-adopters planning to use the technology for the first time.

Meanwhile, more than a fifth (21 per cent) of local firms plan to create new AI-specific roles.

Firms said that the desire to use the technology to help grow their client base (38 per cent) or to drive new or further increases in profitability (36 per cent) were the biggest drivers behind their future investment plans.

Companies also said that having a better understanding of the technology and its benefits (43 per cent) and inspiration from other firms (14 per cent) would help facilitate even more investment.

The Business Barometer, which surveys 1,200 businesses monthly and which has been running since 2002, provides early signals about UK economic trends both regionally and nationwide.

Amanda Dorel, regional director for the South West at Lloyds, said: “Through their own profitability and productivity increases, South West firms are already seeing just some of the ways AI might support wider economic growth.

“With businesses seeking more knowledge around the technology and examples of best practice, collaboration will be key to supporting even greater adoption.”

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