UK Job Market Splits Between AI Haves and Have-Nots
The UK job market is experiencing a stark divide between those who possess artificial intelligence skills and those who do not. According to PwC's 2026 AI Jobs Barometer, job postings requiring AI skills increased by over 60% in 2025, reaching 179,954, while overall job postings dropped 27% below baseline as of March 2026.
The wage premium for workers with AI skills has tripled from 11% to 34.2% in just one year, making it a highly sought-after skillset. Job postings referencing AI were 127% above pre-pandemic levels by February 2026, according to the Indeed Hiring Lab.
Employers are cutting headcount in junior managerial positions, clerical work, and administrative functions as they look to automate tasks with AI tools. Entry-level positions have been hit especially hard, with AI-exposed roles at the junior level seeing employment declines of up to 20% for younger workers since late 2022.
As a result, UK businesses are focusing on training and upskilling programs to bridge the gap between their current workforce's abilities and what AI-driven operations require. Blockchain and crypto companies, heavy users of AI, may struggle to compete with major banks and tech firms for scarce talent.