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UK Firms Report Significant Financial Losses Due to Unmanaged AI Risks

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UK businesses have reported significant financial losses due to unmanaged risks associated with AI adoption. The average company lost £2.9 million over the past year, primarily due to regulatory non-compliance, poor-quality training data, and high energy usage. Only a minority of firms have adequate governance measures in place to manage these risks effectively. The survey, conducted by EY, highlights the need for better AI governance to mitigate financial losses and ensure sustainable growth. Companies with oversight committees for AI reported higher revenue growth, cost savings, and employee satisfaction.

Timeline

  1. 14.10.2025 12:00 1 articles · 12h ago

    UK Firms Report £2.9m Average Losses Due to Unmanaged AI Risks

    A survey conducted by EY revealed that 98% of UK firms experienced financial losses due to AI-related risks in the past year. The average loss per company was £2.9 million, primarily due to regulatory non-compliance, poor-quality training data, and high energy usage. Only a minority of firms have adequate governance measures in place to manage these risks effectively.

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Information Snippets

  • 98% of UK firms surveyed reported losses due to AI-related risks in the past year.

    First reported: 14.10.2025 12:00
    1 source, 1 article
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  • 55% of UK firms reported losses exceeding £750,000 due to AI risks.

    First reported: 14.10.2025 12:00
    1 source, 1 article
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  • The average loss per company due to AI risks was £2.9 million.

    First reported: 14.10.2025 12:00
    1 source, 1 article
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  • Common risks included regulatory non-compliance (57%), poor-quality training data (53%), and high energy usage (52%).

    First reported: 14.10.2025 12:00
    1 source, 1 article
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  • Only 17% of C-suite respondents could identify appropriate controls for specific AI risks.

    First reported: 14.10.2025 12:00
    1 source, 1 article
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  • 53% of organizations allow citizen developers to create and deploy AI agents without formal policies.

    First reported: 14.10.2025 12:00
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  • Only 34% of HR teams have strategies for managing a human/AI workforce.

    First reported: 14.10.2025 12:00
    1 source, 1 article
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  • 81% of firms have continuous monitoring to ensure responsible AI principles.

    First reported: 14.10.2025 12:00
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  • Companies with AI oversight committees reported 35% more revenue growth, 40% cost savings, and 40% higher employee satisfaction.

    First reported: 14.10.2025 12:00
    1 source, 1 article
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