UK tech salaries are rising, but there’s a growing rift

Salaries in the UK tech sector are rising rapidly for those with AI and data literacy skills, according to new research, but demand for softer skills is declining rapidly.

New data from Michael Page's 2027 Salary Guides shows the AI boom is having a strong effect on pay, with the top salary for an AI or data architect in London up by 20% compared with last year.

Head of AI roles are now paying around 11% more, and machine learning/AI engineers are up by about 8%.

“Applied AI skills are driving movement in the market. The people who can take AI from experimentation to secure, scalable production - AI engineers, data architects and cyber specialists - are commanding a meaningful premium," said James Barrett, UK practice director, technology, at Michael Page.

"The value lies not in generic AI awareness, but in combining deep technical capability with governance, data and real-world delivery."

Declining soft skills

Notably, soft skills are in far less demand, with creativity, communication, and analytical thinking all having dropped out of the top five desirable skills in the last year.

“Businesses are investing in the skills that modernize core technology and deliver measurable value," said Barrett.

These people can be hard to find, however, with most AI specialists reluctant to switch roles. Just 38% of technology professionals are actively looking for a new role, well below the 50% national average.

Similarly, 59% of technology hiring managers cite limited availability of skilled candidates as one of their biggest barriers to hiring, while three-in-ten tech companies said they found matching candidates' salary expectations 'challenging' when recruiting new talent.

“Candidates in high-demand areas know their value and they’re negotiating the whole proposition: pay, flexibility, progression, and the quality of the work," said Barrett.

"Employers are responding with more creative packages, from flexible hours and additional leave to AI training and accelerated development pathways. Many are redesigning roles around skills rather than perfect experience."

The in-demand UK tech roles

According to the survey, tech roles in most demand include:

• Applied AI architect/engineer
• Data architect/engineer
• DevOps/SRE
• Cybersecurity architect/engineer
• Business change manager

Looking ahead, the firm said there's likely to be growing demand for AI transformation leads: not just strategists, but people who can identify viable use cases, redesign workflows, manage risks, and drive adoption.

Many organizations are looking to temporary staff to fill the gap. AI consultancy now commands the highest day rate of any tech skill set – around 24% above cloud architecture, 24% above cloud architecture and 16% above program management.

"Employers are using permanent and interim hiring together as part of the same workforce plan, with interim often the fastest route to expertise while the permanent team is built alongside it," said Barrett.

The findings partly align with the results of ServiceNow's recently-published 2026 Workforce Skills Forecast.

This survey found surging demand for Python-related capabilities and test management roles. Conversely, the ServiceNow study highlighted increasing demand for more 'human' skills such as leadership, problem solving, and collaboration.

FOLLOW US ON SOCIAL MEDIA

Follow ITPro on Google News and add us as a preferred source to keep tabs on all our latest news, analysis, views, and reviews.

You can also follow ITPro on LinkedIn, X, Facebook, and BlueSky.