According to Think & Grow, just a third (32%) of the UK’s fastest-growing technology scaleups boast AI expertise on their boards compared to four in ten (40%) of the largest tech companies on the FTSE 350 index.

The findings highlight a trend between AI expertise and revenue – FTSE 350 tech companies with AI expertise on their boards generate an average revenue of £6.8 billion, dwarfing an average of £953 million for those companies without AI knowledge.

Similarly, half (50%) of UK tech scaleups with annual revenue greater than £50 million boast AI expertise on their boards compared to just 15% of companies with revenue below that level.

Efforts to appoint AI expertise to boards has increased in recent years as companies look to upskill their boards and leverage growth opportunities. The research findings show that the average tenure of board directors with AI expertise is three years, compared to five years across all board directors.

Additional research from Think & Grow reveals that a third (32%) of technology companies plan to appoint individuals with AI expertise to their boards in the next 12 months. Surprisingly, given the clear investor appetite for AI – UK AI companies secured £2.9 billion in private investment in 2024 – 13% of technology companies have no plans to appoint AI expertise to their boards in the next year.

Figures from the Department for Science, Innovation and Technology and HM Treasury indicate that UK AI companies secured £2.9 billion in private investment in 2024 – with average deals worth £5.9 million – with companies in the AI industry contributing £11.8 billion to the UK.

Think & Grow explains that AI expertise is becoming increasingly sought-after as growth companies compete for funding and market share as they look to scale at pace.

Jonathan Jeffries, Co-Founder of Think & Grow, says: “Companies without AI expertise on their boards risk losing ground to competitors and stifling growth.

“It’s a challenging climate for many sectors but there is huge investor appetite for high-growth tech companies – the issue is that many of those who secure funding are unable to maximise the opportunity to propel growth as they lack key expertise on their boards. AI is transforming business and society – ambitious tech companies won’t fulfil their potential if they don’t embrace it.

“The most successful companies weaponise their board connections and expertise to gain a competitive edge – UK tech companies need to ensure that they are building boards that are capable of overcoming upcoming challenges and leveraging commercial opportunities if they’re going to scale effectively.”

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