UK could lose 8 million jobs due to AI, warns think tank

As many as 8 million UK workers are at risk of losing their jobs to artificial intelligence with current government policy, the Institute for Public Policy Research warned.

AI already impacts 11 per cent of tasks done by UK staff, a figure that could rise to almost 60 per cent if firms integrate the technology more deeply, the think tank said in a report published Wednesday. Parttime, entrylevel and backoffice jobs such as customer service are most at risk but higherpaying work will increasingly be affected.

The findings highlight the challenges facing the government as it increasingly bets on artificial intelligence to cure the UK’s productivity problem. Companies across the board are using AI to drive up efficiency, while Chancellor of the Exchequer Jeremy Hunt announced an £800million ($1 billion) investment in technology and AI to boost publicsector output.

AI IMPACT

“Already existing generative AI could lead to big labor market disruption or it could hugely boost economic growth, either way, it is set to be a game changer for millions of us,” said Carsten Jung, senior economist at IPPR, which analysed 22,000 tasks across all job types.

“A jobs apocalypse is not inevitable – government, employers and unions have the opportunity to make crucial design decisions now that ensure we manage this new technology well. If they don’t act soon, it may be too late.” In its report published in November, the government acknowledged that AI was already affecting jobs in the finance and insurance sectors. It called for schools and employers to equip workers with the skills they need to adapt. Government policy will make the difference between job losses and economic growth in the context of AI adoption, the IPPR report said. Modeling the potential impact of a “second wave” of AI adoption on the jobs market, the IPPR found the technology could add as much as £306 billion per year to the UK economy without any job losses in the bestcase scenario, depending on government policy.