UK firms sharpen AI governance focus

Organizations across the UK are investing heavily in AI governance and security as use of the technology matures, according to new research.

KPMG’s latest Global AI Pulse survey suggests enterprises are now “strengthening the leadership and controls needed to manage AI as adoption expands”.

The annual survey of C-suite and senior business leaders shows senior ownership of AI initiatives is growing rapidly. Nearly two-thirds (64%) of firms placed accountability for AI decisions at C-suite level or above.

Notably, 39% of organisations place responsibility with a “named executive” while an additional 25% allocate responsibility to the CEO or executive committee.

According to KPMG, this marks a contrast to global counterparts. Just 54% of organizations elsewhere place responsibility with individual executives or the C-suite more broadly.

Paul Henninger, partner and head of technology and data at KPMG in the UK, said the findings showcase how organizations in the country are placing a stronger emphasis on accountability when it comes to AI adoption.

“Deploying AI is only the first step,” he said. “The greater challenge is creating the leadership, governance, and organizational alignment needed to support it as adoption expands.”

“Organizations that embed Ai into their decision-making structures will be better placed to manage risk, demonstrate value, and deliver sustainable performance.”

AI governance in the spotlight

This focus on AI governance comes amidst surging adoption rates, according to KPMG, particularly with AI agents. More than one-third (35%) of UK organisations report “significant adoption” of agents, up from 30% in the first quarter of 2026.

The technology is also being scaled faster, which the consultancy said is creating new risks in terms of security and governance.

KPMG’s findings align closely with research from Informatica in January 2026, which warned that AI governance “lags behind” adoption and usage rates.

More than three-quarters (76%) of firms worldwide told Informatica AI governance capabilities can’t keep pace with employee use rates. This is “increasing exposure to vulnerabilities related to privacy, security, and ethical use, as well as regulatory compliance failure”, the organization said.

According to KPMG, C-suite leaders are now focusing heavily on governance-related efforts, with more than half (55%) of organizations operating a “formal AI management infrastructure.

Cybersecurity is also a growing concern as it relates to AI. Around 80% of UK organisations are now adapting cybersecurity operations and controls due to AI-related risks. KPMG noted that cybersecurity and data protection “become more prominent as organizations mature”.

This has a direct impact on business value as well, according to the consultancy.

Nearly three-quarters (71%) of those reporting established ROI include cyber and data security among “AI budget priorities” – marking a stark contrast compared with 36% of those still experimenting with the technology.

“Organizations generating the strongest returns from AI have moved beyond experimentation and treat it as an organization-wide priority,” Henninger commented.

“Success increasingly depends on clear accountability, strong governance and the ability to coordinate AI across the business.”

“The next source of advantage will come not from adoption alone, but from how effectively organizations manage AI. Those that embed leadership, oversight and resilience into their AI strategy will be best placed to turn investment into sustained performance.”

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