UK organisations are failing to plan their investment in digitalisation investment, putting them at risk of lagging behind their competitors around the world, according to a new study by Siemens.

Just 38 per cent of UK businesses surveyed are likely to increase investment in digital technologies over the next year, compared with a global average of 58 per cent.

The multinational technology firm found that this lack of planned investment puts infrastructure modernisation and decarbonisation at risk.

The study surveyed 650 senior executives from 13 countries to explore how digitalisation can be harnessed to accelerate decarbonisation.

Around 72 per cent of countries in Canada plan to invest in digitalisation technology over the next year, while 70 per cent of companies in China and 64 per cent of those in Italy plan to invest.

Siemens said that despite slower rates of investment, the benefits of digital technologies are well appreciated by UK organisations. Almost 70 per cent of respondents rated productivity, workforce health and safety and decarbonisation as key benefits of digitalisation to their organisations.

In terms of decarbonisation technology, 44 per cent of UK firms believed energy storage technologies will have the biggest impact over the next three years.

Carl Ennis, chief executive of Siemens UK&I, said that a cultural shift is needed in the UK’s approach to technology to overcome barriers, increase growth and transition to net zero.

“It is concerning to see the UK trailing behind its global competitors when it comes to planned investment to modernise infrastructure, but perhaps unsurprising given long-term uncertainty in the UK in recent years,” he added. “The upcoming industrial strategy must help create a long-term, stable policy environment that businesses need to invest, presenting an exciting opportunity for British firms to close this gap.”

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