The IET Sustainability Skills Survey 2023 identified UK engineering employers as among one of the top countries surveyed to favour upskilling and reskilling their existing workforce. However, the survey also found that UK employers were the least likely to offer training in new technologies.

New technologies like AI have huge potential to drive productivity and innovation across the UK economy – potentially increasing GDP by up to 10.3% by 2030, the equivalent of an additional £232 billion. However, the lack of AI skills in businesses is hindering adoption.

Therefore, in order to realise the potential of new technologies like AI, we need to boost adoption throughout the workforce by supporting agile bespoke training courses (microcredentials) to upskill workers.

That is why the IET welcomes the launch of the government’s Flexible AI Upskilling Fund pilot – a £7.4 million scheme to subsidise the cost of AI skills training for small and medium-sized enterprises (SMEs) in the Professional Business Services sector. Through this programme, eligible businesses can apply for funding for up to 50% of the cost of AI skills training which supports employees to develop their technical skills and/or understanding of AI to able to develop, deploy or use AI in their role.

The pilot will test whether government match-funding support is an effective way of increasing employer-led upskilling in AI, and whether increased skills translate into AI adoption and firm-level productivity benefits.

The Department for Science, Innovation and Technology (DSIT) has released Expression of Interest guidance online. If your business is considering offering AI training, then do take a look at the guidance and express your interest, and let us know if you're successful!