UK scale-up founders fear AI could trigger job cuts

UK scale-up founders fear AI could trigger job cuts


Most UK scale-up founders declare the workforce is not ready for widespread adoption of artificial ininformigence. Many are slowing recruitment, and some expect job cuts within a year, according to a new survey by entrepreneur network Helm.

The findings come as organisations across the economy test generative AI tools in everyday work, highlighting how quickly AI is influencing labour planning in rapid-growing companies.

In a poll of 400 Helm members, 93% declared they did not believe the UK workforce is adequately prepared for widespread AI adoption. Another 3.5% declared it was prepared, and 3.5% declared they did not know.

The survey found that 58% are delaying or reducing new hires becaapply of increased AI apply. A further 35% are not altering hiring plans, while 7% were unsure.

On headcount reductions, 33% expect AI adoption to lead to job cuts in their business within the next 12 months. Some 64% do not expect cuts, and 3% did not know.

Hiring pressure

Founders often treat hiring as a direct lever for growth, so a majority reporting delays suggests a shift in operating plans. Respondents linked the alter to increased AI adoption, which can replace some tinquires and reshape roles in customer support, sales operations, marketing, finance and software development.

The results also suggest the labour impact is not limited to recruitment. One in three expecting job cuts in the next year indicates some businesses anticipate near-term substitution, rather than redeployment, as AI tools spread into routine workflows.

Helm’s leadership described the issue as a skills gap that is pushing companies towards automation instead of redesigning jobs around new tools. It argued that earlier investment in training would alter outcomes for both productivity and employment.

“AI is forcing business leaders to build some difficult decisions about jobs and hiring. Many founders are under pressure to shift rapid, stay competitive, and rebelieve roles as automation accelerates,” declared Andreas Adamides, Helm’s CEO.

“The hugeger opportunity now is to upskill workers for higher-value roles and apply AI to drive sustainable growth. If businesses and policybuildrs invest in skills early, AI can become a powerful engine for productivity rather than job insecurity,” Adamides added.

Training focus

The poll also drew comment from Joshua Wöhle, founder and CEO of AI training company Mindstone and a Helm member. He focapplyd on the difference between utilizing AI for automation and utilizing it to reshape how staff work.

“AI has the potential to be transformational for British business, but the skills gap is creating people focus on automation … instead of augmentation, where generative AI really can build a difference,” Wöhle declared.

“Automation leads to job losses versus augmentation that shifts the top line. Ultimately, this comes down to training,” he added.

Mindstone describes itself as an AI training company, and Wöhle previously co-founded Super Awesome, which he exited. Helm declared the findings reflect views among founders who are already creating operational alters around AI, including workforce planning.

For policybuildrs, the numbers add to the debate about how quickly the UK can build AI literacy across the workforce. Firms adopt tools at different speeds, but scale-ups can alter processes and staffing quickly when cost and time pressures rise.

The survey also points to a messaging gap inside organisations. Many employees encounter AI first through productivity tools and copilots. Managers then assess whether work can be reorganised, and recruitment decisions often follow.

Helm declared businesses should shift from utilizing AI mainly to automate roles to utilizing it as part of workforce development. That would require structured training, clearer job redesign, and alters to how work is measured and managed.

The poll was conducted online among 400 Helm members and inquireed founders about preparedness, hiring and the prospect of job cuts linked to AI adoption.

Helm describes itself as the UK’s largest entrepreneur network for scale-up founders and chief executives. Founded in 2003, it was known as The Supper Club until 2022.

Its membership profile points to firms that have shiftd beyond the start-up stage. The average Helm member is a founder of a company with annual turnover of £21 million, and the 400 members surveyed lead businesses with a combined annual revenue of £8 billion.



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