A growing number of small businesses in the UK are integrating artificial intelligence (AI) tools into their operations, with 62% now using the technology to enhance efficiency. The shift is largely driven by a strong demand for AI skills training, particularly in marketing, operations, and customer service.

A recent initiative by BT and Small Business Britain introduced an ‘AI for Small Business’ training programme, helping bridge the skills gap for 500 small business owners. The programme offered expert-led webinars and a follow-up course on AI tools, aimed at enabling entrepreneurs to leverage AI for greater efficiency. The course highlighted how small businesses can utilise AI for tasks such as content creation, data analysis, and automation, even without prior technical expertise.

Business owners are increasingly recognising the need for hands-on support, with over half (51%) reporting that they need assistance to effectively implement AI. The training programme is designed to give practical advice on integrating AI into business operations, helping companies focus on growth and innovation.

AI tools are becoming a key asset for small businesses, not just in improving day-to-day operations, but also in helping them stay competitive in a rapidly evolving market.

Staples Vegetables in Lincolnshire has become the first UK fresh produce supplier to operate battery and solar-powered transport refrigeration. The farm, which supplies brassicas, leeks, potatoes and sweetcorn to major retailers, has added two Sunswap Endurance units to its trailers.

The system eliminates diesel use for cooling, with solar energy supplying 96% of the units’ power since they began operating in June 2025. The company expects the technology to cut its transport refrigeration costs by 78% and reduce total ownership costs by 27% over ten years.

Performance during a 12-day trial in 2023 showed that the refrigeration system could hold temperature in hot summer conditions when field heat is at its highest. Over the next decade, the switch is projected to save 256 tonnes of carbon emissions.

Staples already generates its own renewable power through two anaerobic digestion plants. The move reflects the wider trend of retailers pressing their suppliers to cut carbon output, with transport refrigeration historically consuming 4,000–5,000 litres of diesel per unit each year.

Sunswap manufactures the Endurance units in Surrey and has rolled out the technology to other operators including Tesco, Birds Eye and Samworth Brothers.

Business activity across the UK’s private sector lost pace in July, with early data signalling a slowdown in growth and a sharper wave of job cuts. The S&P Global flash composite PMI dropped to 51 from June’s nine-month high of 52, suggesting marginal growth that fell short of economists’ expectations.

Service industries remained the primary growth driver, supported by increased consumer spending. However, firms in the sector flagged persistent uncertainty and fragile domestic conditions as limiting factors.

Manufacturing output levelled off after eight months of contraction. Still, producers continued to struggle, particularly in export markets affected by US trade policies. New orders across the private sector declined for a third consecutive month, reaching their weakest level since April.

Employment fell at its fastest pace since February, with staff reductions reported in both services and manufacturing. Firms pointed to rising labour costs, driven by recent increases in national insurance and minimum wage, as a key factor behind workforce restructuring. Business confidence remained subdued, weighed down by a combination of cost pressures, slowing demand, and the lingering effects of fiscal measures announced in last autumn’s budget.

Productive Machines has secured a £510,000 investment from Digital Catapult to scale its autonomous milling software and strengthen UK manufacturing capabilities.

The South Yorkshire-based company develops SenseNC, a tool designed to optimise machining operations before they reach CNC machines. The technology has already been adopted in the aerospace sector, with successful pilots involving firms such as AML and structural steel specialist FICEP UK. It has also seen implementation support from the Advanced Manufacturing Innovation Centre in Belfast.

The investment will support expansion across the UK and Europe, while also enabling entry into the US market. The company has already reshored two aerospace part production processes from overseas, a move expected to continue as more firms explore digital tools to reduce reliance on foreign supply chains.

Productive Machines plans to grow its customer base and deepen sales partnerships, positioning its software as a driver for cost savings, carbon reduction, and productivity improvements. The funding aligns with national goals to reshore advanced manufacturing and enhance industrial resilience through innovation in deep tech.