Deloitte’s latest UK CFO survey shows that the outlook for large UK companies is improving, with technology investment, particularly in AI, emerging as a key strategy. The research shows that while macroeconomic and geopolitical risks remain high, boards are increasingly focusing on digital capabilities as a key route to productivity and medium-term growth.
The strongest finding concerns investment in technology. 96% of CFOs expect UK companies to increase investment in technology over the next five years, with 77% expecting productivity and performance to improve. This number is unique for a CFO paper and shows that digital spending is not seen as discretionary or cyclical, but as structural (similar to capital spending in the earlier industrial phase). This paper shows that continued funding is available for IT leaders, but also points to increased expectations for technology delivery, integration, and measurable benefits.
Artificial intelligence is at the heart of newspapers and CFO sentiment in general. The percentage of CFOs who are “more optimistic” about AI’s ability to improve their organization’s performance increased from 39% in Q3 2024 to 59%. This shift is not gradual, suggesting that AI has moved from experimentation to mainstream financial confidence. Importantly, the study does not show that newfound optimism is accompanied by an overall increase in risk-taking. Risk appetite has improved but remains subdued at 15%, below the long-term average of 25%. This combination – trust in AI and continued vigilance on balance sheets – will influence how AI efforts are managed and controlled. Finance departments may require tightly focused usage and productivity metrics rather than open-ended experimentation and trials.
For finance professionals, this environment strengthens the CFO’s role as a steward of technology rather than a passive consumer of IT budgets. The study positions finance executives as having a role in shaping digital strategy around AI. The paper’s emphasis on productivity improvements indicates a preference not just for customer-facing innovations, but also for applications that automate processes and help with financial forecasting. IT teams should expect closer scrutiny of the business cases presented, more complex work from financial experts, and translation of technical capabilities into financial outcomes.
Despite improvements in affective metrics, this study also highlights some notable limitations. Despite a rebound in optimism from the lowest levels recorded in previous iterations of Deloitte’s CFO survey, business confidence remains below its long-term average at -13%. Capital spending is a priority, but only 17% of CFOs consider it a “strong priority,” slightly above the long-term average. This suggests that although investments are protected, they are not immune. Programs that are considered speculative, poorly managed, or poorly aligned with productivity remain less likely to survive.
Although external uncertainty has declined, it remains significant. 38% of CFOs still rate future uncertainty as high or very high, and geopolitics continues to dominate the risk landscape, cited by 65% of respondents. The UK’s competitiveness and productivity followed, with a historically high risk rating of 62. System resiliency, data security, energy efficiency, and supply chain visibility are likely to gain attention, as will the overall goal of efficiency created by the use of AI in operations.
The focus of this study is on the human side of technology adoption. Deloitte leadership recognizes that the value of AI relies on the combination of technology and human skills, and the need to upskill employees. Although this is not quantified in the survey data, it is consistent with a broader pattern of cautious optimism. CFOs are willing to invest, but they don’t assume the technology itself will deliver results. This strengthens the argument among IT leaders that change management, training, governance, and monitoring should be built into new digital programs.
The Deloitte CFO survey shows a real and decisive shift towards technology-led productivity in UK businesses. The evidence is strongest regarding sustained digital investment and a remarkable rise in confidence in AI. We continue to be cautious about risks and recognize the harsh external environment. The priority for finance professionals is to allocate capital to initiatives that can clearly improve performance. Opportunities are expanding for IT staff, but so are their responsibilities. Digital ambitions will almost certainly be funded, but only if they can be translated into reliable and auditable business value.
(Image source: “Deloitte Exposure” by zilverbat. Licensed under CC BY-NC 2.0.)
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