£2.1m support to help Welsh businesses adopt AI

Daniel Bevan - Editor

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Welsh businesses are set to benefit from £2.1m in new government support aimed at accelerating the adoption of artificial intelligence and boosting productivity across the SME sector.

The funding, provided by the Welsh Government, will make dedicated AI support available to SMEs, entrepreneurs and microbusinesses, helping them integrate artificial intelligence into their operations in ethical and effective ways to improve competitiveness and innovation.

As part of the package, £600,000 will be allocated to the Business Wales service to develop and deliver an AI awareness and adoption programme.

The initiative will implement recommendations from recent short-term reviews into SME productivity and AI uptake.

A further £500,000 will be invested in the tourism and events sectors, using AI to enhance performance and digital capability.

This includes an AI Pollination Project delivered in partnership with the Hartree Centre Cardiff Hub and Cardiff University’s Digital Transformation Innovation Institute, designed to accelerate AI adoption among event organisers in Wales.

The funding will also support in-person workshops aimed at up to 1,000 tourism microbusinesses and SMEs, focusing on practical AI skills for areas such as digital marketing and content creation.

An additional £1m will be used to develop an AI upskilling offer through the Flexible Skills Programme.

The scheme will focus on addressing digital skills gaps and supporting inclusive growth, with employers contributing 25 per cent of AI training costs and 50 per cent for other Flexible Skills Programme courses.

Swansea-based giftware firm Something Different Wholesale is one business already using AI to support its growth.

The company, which has a turnover of £11m, employs 75 staff and serves around 12,000 business-to-business customers worldwide.

The business uses AI to process data and generate market insights, automate time-consuming tasks and support customer services.

It is also launching a new global website using AI to translate content into multiple languages.

Founder Jane Wallace-Jones said: “Artificial intelligence is advancing at a rapid pace and businesses that successfully adopt AI and integrate it into their processes will gain a significant competitive advantage.

“However, many SMEs lack the in-house expertise needed to utilise the latest technologies effectively.

“This Welsh Government funding presents a valuable opportunity for Welsh businesses like ours to access high-quality AI training and improve productivity.

“This will help boost growth, innovation, and create more employment opportunities in Wales.”

Cabinet Secretary for Economy, Energy and Planning Rebecca Evans MS said: “This important funding builds on powerful showcases of Welsh innovation, technology, and ambition in dynamic and forward looking sectors at Wales Tech Week and the Wales Investment Summit,” she said.

“AI is transforming the business sector, improving productivity and driving change.

“This programme of AI awareness, adoption and upskilling will help us ensure SMEs across all sectors in Wales are prepared to optimise the potential of emerging AI technologies in responsible, inclusive and ambitious ways.

“This will play a crucial role in putting the AI Plan for Wales into action, enabling people, communities, and businesses in every corner of Wales to start realising the benefits of artificial intelligence.”

Skills Minister Jack Sargeant MS said: “We recognise the huge potential of AI to supercharge business development and economic growth and are determined to do all we can to support the ambition of SMEs across Wales to develop the skills needed for future success,” he said.

“Our hugely successful Flexible Skills Programme already benefitting thousands of businesses across Wales and this latest £1m of funding will bridge digital skills gaps and accelerate the ethical and responsible adoption of AI in a rapidly evolving digital economy.”