UK Entrepreneurs Lag Behind Europe in AI Adoption Despite Heavy Admin Burden, bunq Research Reveals

British business owners are falling behind their European counterparts in AI adoption, with only 51% utilizing the technology despite heavy administrative burdens. For fintech professionals, this gap represents a significant trust deficit that must be bridged if the UK is to meet government ambitions of becoming a global leader in automated commercial efficiency and SME productivity.

What was announced

New research from bunq reveals a stark disparity in how European entrepreneurs are engaging with artificial intelligence. While the UK government aims to position the country as a leader in AI adoption, the reality on the ground shows that British founders are the least likely in Western Europe to have implemented the technology. Only 51% of UK business owners have used AI to support their operations in the last year, a figure that trails significantly behind Germany (79%), France (76%), and Spain (73%).

This reluctance persists despite a crushing administrative load. Two-thirds of UK founders report that administrative tasks consume at least 25% of their working week, while 18% claim it swallows more than half of their time. Interestingly, the barrier to adoption is not primarily financial; only 26% of UK respondents cited cost as a primary obstacle. Instead, a lack of knowledge or trust was the leading deterrent, cited by 38% of British founders—the highest rate among all surveyed nations.

The data also highlights a unique generational rift within the UK. While 73% of founders aged 25 to 34 have adopted AI, that number collapses to just 23% for those aged 55 to 64. This 50-percentage-point gap is notably wider than in other markets; for instance, 62% of Spanish founders in the older bracket are already using AI tools. The survey, which reached 4,510 founders across the UK, Ireland, Spain, Germany, and France, suggests that British and Irish markets face specific cultural or educational hurdles that are not present in the rest of Western Europe.

"Being sceptical about a new tool until you see the actual value is good business sense. Entrepreneurs juggle everything: finance, logistics, red tape… and that’s where AI needs to win them over, by taking the admin off their plate and giving them back their time to focus on their actual business, not paperwork. Tech should fit around the business you’re building, not the other way around."

Joe Wilson, Chief Evangelist at bunq.

The companies involved

Headquartered in Amsterdam, bunq has positioned itself as a major disruptor in the European neobanking landscape. Since its inception, the firm has focused on a mobile-first approach, eventually branding itself as the world’s first GenAI-powered bank. This focus on automation and artificial intelligence is central to its product identity, aiming to streamline the banking experience for digital nomads and entrepreneurs alike. The company operates independently, without a traditional corporate parent, and has maintained a consistent brand identity since its launch, avoiding the frequent renames common in the fintech sector.

In the broader market, bunq competes with established challenger banks by emphasizing user autonomy and ethical banking practices. Its recent strategic moves have seen it expand its footprint across the European Union, leveraging its banking licence to offer a suite of services that range from multi-currency accounts to high-interest savings products. With a strong presence in markets like the Netherlands, Germany, and France, the firm is increasingly using its data insights to influence the conversation around business productivity and the integration of emerging technologies in the SME sector. FF News has tracked the company's progress across 57 separate reports, documenting its rise in the competitive European fintech space.

What FF News has reported before

FF News has followed bunq’s evolution closely, documenting its transition from a niche challenger to a multi-faceted financial platform. In late 2025, the bank expanded its core offering when bunq Launches High-Interest Term Deposits, a move designed to capture a larger share of the savings market. This followed a period of rapid diversification where the company sought to enhance its lifestyle banking features, including a bunq Accelerates Global Expansion with Premium Rewards Proposition Powered by Ascenda.

The firm has also been active in the digital asset space, as seen when bunq Steps Up Crypto Expansion With EU-Wide Flexible Staking. Beyond its own product launches, bunq’s research often intersects with broader economic trends, such as when FF News noted that London Sees Biggest Coworking Cost Drop in Europe as Living Costs Stabilise, highlighting the changing environment for the very founders bunq serves.

What this means

The data suggests a profound "trust gap" in the UK fintech market that could stifle the next wave of productivity gains. While the government promotes a high-tech future, the disconnect between younger and older founders indicates that AI is currently viewed as a tool for the "digital native" rather than a universal business utility. This puts traditional software providers and legacy banks under pressure; if they cannot integrate AI in a way that feels secure and intuitive for the 55+ demographic, they risk losing a significant, capital-rich segment of the SME market to more agile, AI-first competitors. The industry must move past the hype of "what AI can do" and start proving "what AI does safely" to win over the sceptics.