Up to 3 million low-skilled jobs in the UK could be lost by 2035 due to AI and automation, according to a National Foundation for Educational Research (NFER) report. Occupations most at risk include trades, machine operators, and administrative roles, while highly skilled professionals may see increased demand in the short to medium term.
The report projects the UK economy will add 2.3 million jobs by 2035, but the benefits are expected to be unevenly distributed. This contrasts with other studies suggesting AI may affect highly skilled roles, such as software engineering and management consultancy, more significantly. For instance, King’s College research indicated that higher-paying firms lost approximately 9.4% of jobs between 2021 and 2025, a period coinciding with ChatGPT’s release.
Recent industry actions reflect the shifting landscape. Clifford Chance cut 10% of business services staff, citing AI among other factors, while PwC adjusted hiring plans in response to changing demand. NFER authors emphasize that AI’s impact will be complex: increasing professional demand, reducing entry-level roles, and significantly affecting low-skilled workers who may face challenges reskilling.
The findings highlight the need for targeted workforce planning as AI adoption accelerates.
