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Data study ·

Small business leaders are confident with AI, but fewer than half use it

Publication
Business Matters (United Kingdom)
Author
Amy Ingham
Published on
16 September 2026 · read in the page structured data · updated on 16 September 2026

Summary

A study by Small Business Britain and Alibaba.com, conducted among 1,000 UK small business leaders, shows that 70% say they are confident using generative AI but only 48% use it regularly, a difference the authors call a "productivity gap". Usage is concentrated in marketing and content creation (74%), well ahead of data analysis (around a third) and supply chain management (5%). Agentic AI remains little known: 44% have heard of it and only 5% use it regularly, although 68% want to learn more. Respondents express reservations about data privacy (69%) and reliability (61%). The study is set against data from Simply Business and the Office for National Statistics showing a rise in AI adoption by UK businesses.

Summary based on the full text of the article.

Read the article on Business Matters →

Figures cited

  • 70 %

    Share of UK small business leaders confident in using generative AI

    1,000 small business leaders in the United Kingdom

    « The study of 1,000 small business owners found that 70 per cent are somewhat or very confident using generative AI, while 48 per cent use it regularly. »

    Source: Small Business Britain et Alibaba.com

  • 48 %

    Share of leaders using AI regularly

    1,000 small business leaders in the United Kingdom

    « The study of 1,000 small business owners found that 70 per cent are somewhat or very confident using generative AI, while 48 per cent use it regularly. »

    Source: Small Business Britain et Alibaba.com

  • 74 %

    Share of AI users applying it to content creation and marketing

    UK small businesses using AI

    « Among small businesses that use AI, 74 per cent apply it to content creation and marketing, making it by far the most common use recorded in the survey. »

    Source: Small Business Britain et Alibaba.com

  • 5 %

    Share of AI users using AI for supply chain management

    UK small businesses using AI

    « About a third use it for data analysis or reporting, and 5 per cent for supply chain management. »

    Source: Small Business Britain et Alibaba.com

  • 80 %

    Share of leaders citing time savings as a key benefit of AI

    1,000 small business leaders in the United Kingdom

    « Four in five (80 per cent) identified it as a key advantage of AI, compared with 43 per cent who pointed to creativity and innovation. »

    Source: Small Business Britain et Alibaba.com

  • 43 %

    Share of leaders citing creativity and innovation as a key benefit of AI

    1,000 small business leaders in the United Kingdom

    « Four in five (80 per cent) identified it as a key advantage of AI, compared with 43 per cent who pointed to creativity and innovation. »

    Source: Small Business Britain et Alibaba.com

  • 44 %

    Share of respondents who have heard of agentic AI

    1,000 small business leaders in the United Kingdom

    « Only 44 per cent of respondents had heard of agentic AI, and 5 per cent are regular users. »

    Source: Small Business Britain et Alibaba.com

  • 5 %

    Share of respondents who are regular users of agentic AI

    1,000 small business leaders in the United Kingdom

    « Only 44 per cent of respondents had heard of agentic AI, and 5 per cent are regular users. »

    Source: Small Business Britain et Alibaba.com

  • 68 %

    Share of leaders wanting to learn more about agentic AI

    1,000 small business leaders in the United Kingdom

    « However, 68 per cent said they want to learn more about it. »

    Source: Small Business Britain et Alibaba.com

  • 60 %

    Share of leaders citing a better work-life balance as a benefit of agentic AI

    1,000 small business leaders in the United Kingdom

    « Asked about its potential advantages, 60 per cent of owners cited improved work-life balance and 50 per cent said it could give them more time for marketing and finding new customers. »

    Source: Small Business Britain et Alibaba.com

  • 50 %

    Share of leaders for whom comparing supplier prices takes significant time

    1,000 small business leaders in the United Kingdom

    « Half (50 per cent) said comparing price options takes up a significant amount of their time when working with suppliers, and 45 per cent said the same of finding suppliers. »

    Source: Small Business Britain et Alibaba.com

  • 15 %

    Share of leaders turning to AI when facing a difficult decision

    1,000 small business leaders in the United Kingdom

    « A partner was the most common answer, at 23 per cent, while 15 per cent said they already turn to AI. »

    Source: Small Business Britain et Alibaba.com

  • 69 %

    Share of respondents concerned about AI-related data privacy and security

    1,000 small business leaders in the United Kingdom

    « Data privacy and security were a concern for 69 per cent, reliability and accuracy for 61 per cent, and 46 per cent expressed some discomfort about AI making decisions on their behalf. »

    Source: Small Business Britain et Alibaba.com

  • 47 %

    AI usage rate among UK small businesses, up year on year

    UK small businesses

    « The findings follow research from Simply Business, which found that AI use by UK small businesses had more than doubled to 47 per cent in a year. »

    Source: Simply Business

  • 35 %

    Reported AI usage rate among UK businesses with 10 or more employees, in June 2026

    UK businesses with 10 or more employees, June 2026

    « The Office for National Statistics reported in July that self-reported AI use among businesses with 10 or more employees had risen from about 12 per cent in late 2023 to about 35 per cent by June 2026. »

    Source: Office for National Statistics

Classification

Country
United Kingdom
Company size
Micro-businesses, SMEs
Industries
All industries, or industry not specified
Companies
Simply Business (cited), Accio (supplier), Small Business Britain (study author), Alibaba.com (study author), Office for National Statistics (cited)
Keywords
AI adoption, small businesses, agentic AI, time savings, suppliers, marketing

Entry written by Marsanne Studio from the cited article, with the help of an AI model (claude-sonnet-5). The rights to the article and its illustrations belong to Business Matters and its author. Entry translated from French by Claude Sonnet 5.5.