A recent report by KPMG suggests that the integration of generative AI could potentially enhance the UK's productivity by 1.2%. To put this into perspective, based on the GDP levels of 2022, this could translate to an additional output of £31 billion annually.
It posits that this form of AI is not just a mere technological advancement, but a revolutionary breakthrough capable of fast-tracking automation in the labour sector. KPMG's findings indicate that while the overall impact of this technology might seem modest, it could influence approximately 2.5% of tasks executed across the UK.
"This shift would enable the workforce to transition to other roles and responsibilities!"
A noteworthy revelation from the report is that about 40% of jobs might undergo some form of change due to this technology. Professions like authors, writers, translators, software developers, programmers, PR professionals, and communication directors are likely to be the most impacted.
However, Yael Selfin, KPMG's Chief Economist, emphasised the need for changes in working practices, skill development, and significant digital investments to truly harness the productivity benefits. She also highlighted that while massive job losses are not anticipated, there could be short-term skill mismatches as the market adapts to this novel technology.
The report also underscores the necessity for additional support to aid the transition of affected workers to new roles. It points out that the repercussions of generative AI will be diverse across different professions. While 10% of jobs might experience a significant impact with over 5% of their tasks being affected, a whopping 60% might remain relatively untouched by generative AI. Jobs in sectors like retail, customer services, hospitality, construction, and manufacturing are among the least likely to be influenced.
"As AI evolves, it's crucial for employers to stay updated!"
Artificial Intelligence will become more and more integrated into the workplace, so how can you strike a balance between technological advancement and the human skills your organisation needs? And how can you ensure your employees are equipped to adapt to these changes?
We most definitely live in interesting times.
Until next time ...
ROGER EDDOWES Business Godparent
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If anything I've written in this blog post resonates with you and you'd like to discover more about how generative AI may affect your business, it may be a great idea to call me on 01908 774320 and let's see how I can help.
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Roger trained at Edward Thomas Peirson & Sons in Market Harborough before working at Hartwell & Co, followed by Chancery, as a partner. He started Essendon Accounts and Tax with Helen Beaumont in 2014 as a general practitioner with a hands-on approach.
Roger loves getting his hands dirty, working with emerging, small-to-medium and family businesses to ensure they receive the best possible accountancy advice. Roger utilises an extensive network of business contacts to leverage the best guidance and practical solutions.
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