A surge in demand for AI professionals has helped tech job vacancies across the UK to grow by 21% in a year, with the UK expanding its tech talent pool to its highest level since 2019, according to new data from Accenture’s UK Tech Talent Tracker.

The research, which tracks the UK’s technology sector vacancies and skills, indicates a nearly 200% year-on-year increase in demand for AI skills across UK cities. Despite efforts to promote tech innovation in other regions, nearly two-thirds (65%) of technology vacancies are in London – with the capital accounting for 80% of demand for AI skills across all UK cities.

Other UK cities have shown promising growth in demand for AI skills, including Glasgow (150%), Liverpool (125%) and Leeds (83%). With ambitions set for an Oxford-Cambridge tech corridor, demand for AI skills has grown at a steadier pace in the cities of Oxford and Cambridge at 54% and 62%, respectively.

While London continues to drive growth, the UK has expanded its technology talent pool by 53% in a year, resulting in nearly 1.69m professionals reporting skills in disciplines, including cyber, data, and robotics. Manchester is emerging as a quantum computing talent hub, with a 66% increase in quantum skills.

Regional upskilling gap emerges

Additional research indicates that organisations based in London are ahead in preparing for the impact of generative AI, investing more in training and technology. Approximately 58% of businesses in London have increased their investment in upskilling in generative AI, compared to 40% of firms outside London.

While every region has vastly increased their AI investments compared to last year, London-based firms plan to allocate nearly a fifth of their technology budgets to AI this year. This compares to 13% in the Northeast and Yorkshire, Scotland, Wales, and the Southeast.

Emma Kendrew, Accenture’s Technology Lead in the UK, said, “The UK has a golden opportunity to establish itself as a global AI leader, and London is at the epicentre.

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“The UK is seeing hotspots of tech talent emerge which we expect to grow as AI is more widely adopted. However, to fully capitalise on the economic potential of AI, regions outside of London will also need to compete for talent and infrastructure to achieve sustainable growth and unlock opportunities.

“The disparity in regional upskilling in AI raises concerns about a growing digital divide in the UK and could hurt long-term competitiveness.”