Financial realities have elevated operational resilience to a board-level priority.

Top leaders at UK and Ireland companies are nearly unanimous (95%) in recognising that faster incident recovery and fewer major incidents create competitive advantage, matching the 95% global consensus.

This is according to PagerDuty’s State of AI-First Operations report, with pullout insights from the UK and Ireland, part of global research to understand how organisations are building operational maturity and resilience. This surveyed 1,000 IT decision makers, business decision makers, and developers worldwide.

Incident costs force UKI businesses to buck IT strategy

The cost of inaction in the face of IT incidents is no longer theoretical – it’s immediate and measurable.

About 65% of UK and Ireland companies face losses of £225,000 ($300,000) or more per hour during major incidents, slightly below the 68% reported globally, but still representing a critical financial risk that demands executive attention.

The damage extends well beyond immediate revenue loss. A majority of UK and Ireland organisations (53%) identify brand and reputation damage as the area suffering the greatest financial impact from major incidents, closely tracking the 52% reported globally.

Nearly half (48%) cite lost productivity as the next area suffering financial impact when systems go down, matching the 48% global rate. Globally, organisations also report recovery and remediation costs (50%) and developer burnout (42%) as significant consequences of disruption.

UKI resilience investment splits dramatically by growth levels

Operational resilience has evolved from a technical requirement to a strategic imperative around the world, with companies making measurable progress everywhere: 68% in the UK and Ireland report increased operational resilience over the past year, closely tracking with the 71% global rate.

But respondents from the UK and Ireland display the widest investment gap globally.

UK and Ireland organisations whose company revenue has increased in the past year are 31 percentage points more likely to increase operational resilience budgets than those reporting flat or declining revenue (79% vs. 48%) – exceeding the 20-point global average by more than 50%.

Recommended reading

• AI-Powered, Layered Cyber Defence Is Essential for Business Resilience
• Report: Public Sector Scottish Cyber Activity 2026
• Cybersecurity Talent Is the UK Job Market’s Hot New Bombshell

AI adoption: Optimistic, but human-led

UK and Ireland organisations are cautiously optimistic about AI’s potential to transform operations.

About two in five (41%) believe AI-assisted digital operations automation could reduce service disruptions by at least 20%, more conservative than the global market, where nearly half anticipate improvements of that magnitude.

That measured optimism stems from a deliberate commitment to human oversight.

Nearly three in five (59%) have a three-year goal of maintaining an even mix of AI agents and human workers to reduce service disruptions and increase operational resilience, closely aligned with the 62% global rate.

“UK and Ireland organisations are making strong strides on operational resilience, but beneath that momentum lies a growing divide,” Eric Johnson, CIO, PagerDuty said.

“When revenue is healthy, UKI leaders are injecting that cash back into IT departments. But those with flat revenue trends are choosing the opposite, creating a 31-point investment gap that is the widest we see globally.

“The extent of financial damage from IT disruption is a stark reminder that skipping a beat on resilience investment isn’t an option any more.

“There’s certainly a sliding scale in resourcing, based on what is feasible for any given business, but turning off the taps can spell disaster. About 65% of UK and Ireland companies face losses of £225,000 ($300,000) or more per hour during major incidents.

“In the past two years, we’ve had huge incidents cripple UKI businesses across the board. What this proves is that you can’t cross your fingers hoping it will all blow over.

“A blend of human workers and AI agents can help alleviate pressure on strapped teams, and balanced approaches here can surface issues and accelerate analysis effectively, all while preserving the judgment, context, and accountability.”