A new report from the Institute for Public Policy Research highlights the risk of job displacement due to AI, with nearly 8 million UK jobs potentially affected. It calls for urgent government action to guard against mass unemployment.
A comprehensive report by the Institute for Public Policy Research (IPPR) has issued a stark warning regarding the future of employment in the UK due to the rise of artificial intelligence (AI), projecting that nearly 8 million jobs could be at risk. According to the IPPR, women, younger employees, and those in lower-paying jobs face the highest threat from automation, with the emergence of generative AI technologies poised to transform the job market. This shift is anticipated to affect a wide range of roles, from administrative and secretarial positions to more sophisticated tasks such as copywriting and graphic design, within the next three to five years.
On the one hand, the financial services sector in the UK is already leveraging AI to enhance productivity and foster an era of innovation, particularly in customer support, cyber defense, and fraud detection. Notable companies, such as Hiscox and leading financial consulting firms like IBM Consulting, have outlined the positive impacts of AI, including efficiency gains and the creation of new job categories such as AI ethicists and cyber experts. This adoption aims to meet changing customer expectations and maintain a competitive edge in the digital landscape.
Despite these advancements, the IPPR report emphasizes the urgent need for governmental intervention to avert potential widespread job displacement. The think tank suggests enacting a job-centric industrial strategy tailored to AI, which could include tax incentives for AI training and regulatory updates to ensure human oversight in critical industries. Key figures like Carsten Jung of the IPPR have highlighted the importance of strategic decision-making to manage AI’s impact effectively, stressing that a “jobs apocalypse” is not inevitable with the right policies in place.
The UK government is reportedly proactive about AI regulation to promote innovation while ensuring security and compliance. Such regulations are imperative to address the challenges and uncertainties surrounding the full extent of AI’s integration into the workforce.
As the UK stands at a critical juncture, the IPPR’s findings serve as a catalytic call for stakeholders across sectors to collaborate and navigate the future of employment in an AI-driven economy, ensuring that technology benefits the broader society without compromising job security for millions.
