WMCA AI Adoption Report

Mar 2025

Business Economic Impact Economy Insights West Midlands Combined Authority

This report presents findings from research into the UK Artificial Intelligence (AI) labour market, carried out by The Economic Intelligence Unit in February to March 2025, on behalf of the West Midlands Combined Authority (WMCA). This study aims to assess the impact of AI adoption on job roles across the West Midlands, focusing on both the risks of job displacement and opportunities for adaptation. It will play a significant role in the WMCA’s strategic response to national initiatives, such as DSIT’s Technology Adoption Review. This report explores the current state of AI adoption, its sectoral impact, and the opportunities and challenges it presents for businesses and the workforce.

The study involved:

• A literature review to understand work completed to date on the impact on AI on the UK economy and the potential disruption to the labour market;

• Creation of case studies detailing examples of AI integration across businesses in key sectors such as aerospace, retail, healthcare and education;

• In-depth stakeholder interviews conducted with business leaders, industry experts, educators, and policymakers across the West Midlands; and

• The report explores and seeks to quantify the potential impact of AI and automation on the WMCA labour market by conducting in-depth research and analysis of job postings to understand employer demand.

It also examines the current strength and skill competencies of workers with AI skills within the WMCA area, leveraging job postings data from the Adzuna and Lightcast databases.

Download File