Smarter hackers, riskier AI
Ransomware will continue to be disruptive - and it's not just organisations leveraging AI to enhance operations. Attackers are too. Expect more sophisticated social engineering, from hyper-realistic phishing to voice cloning that bypasses multi-factor authentication. Meanwhile, as organisations integrate AI into operations, the cyber-attack surface will widen, with prompt injection and shadow AI agents emerging as key vulnerabilities.
Governance under pressure: The agentic AI challenge
In 2026, organisations will move beyond chat-based interfaces to embedding agentic AI into core operations - autonomous agents executing complex, multi-step workflows from invoice management to dynamic compliance monitoring. As agent creation is democratised by "vibe coding", a wave of unmanaged agents will emerge. CTOs and boardrooms face heightened scrutiny to implement clearer guardrails, accountability frameworks, and operational oversight.
AI gets classified, and the acronyms multiply
By year-end, boards will encounter an expanding vocabulary: Narrow AI, Shadow AI, and – at the more speculative end – AGI and ASI. The immediate governance priorities lie with the first two. Narrow AI is already embedded in many operations, carrying tangible risks around bias and liability. Shadow AI – the unsanctioned use of AI tools by employees – poses pressing concerns for regulatory compliance. Directors should ensure robust policies address both. Autonomous systems promise efficiency but raise thorny legal questions around accountability, with courts worldwide grappling to keep pace.
Digital finance goes mainstream
The UK government and FCA will double down on facilitating innovation in crypto assets and distributed ledger technology, alongside significant advances in payment services, open banking, and digital wallets. The UK's aim is clear: a world-leading payments ecosystem. And yes, this could be the year we learn if the digital pound becomes reality.
Immersive consumer worlds
Sports broadcasters will fight harder for eyeballs. With viewers increasingly "second screening," the race is on to make every match an immersive experience or risk losing fans to the scroll. Meanwhile, hyper-personalised AI ads will dominate, with generative AI creating bespoke campaigns tailored to individual preferences and moods in real time. From 2 August 2026, the EU AI Act mandates disclosure of certain AI-generated content, forcing brands to balance transparency with seamless user experience.
Big bets return
We're beginning to see evidence of M&A recovery, led by larger, strategically targeted transactions. With private equity sitting on significant unspent capital and financing conditions improving, larger deals are forthcoming. AI remains the mot du jour at every stage of the transaction lifecycle - target identification, due diligence, and integration.
Future @ Work: AI meets human capital
Tech firms lead in AI deployment, combining high confidence with fast implementation -but this leaves them exposed to the volatility shaping the wider ecosystem. The biggest constraint on scaling AI isn't tooling but human capability, prompting a decisive shift toward meaningful work, purpose-led cultures, and new specialist roles. The firms that thrive will balance speed with foresight and pair technological investment with deeper investment in people. Read the full report here.
From concrete to code
Landlords and property managers will lean on predictive maintenance and AI energy management to cut opex, improve ROI, and meet green mandates. Smart buildings powered by IoT and AI will become standard, while the most valuable square metres in UK real estate will be buildings with verifiable, compliant data - digital twins carrying a live "golden thread" of safety, energy, and lifecycle information.
Frontier Technologies to watch
Robotaxis hit the road. Autonomous vehicles may finally shift from concept to curb with the launch of the first commercial pilots on UK public roads, enabled by the Automated Vehicles Act 2024. The opportunity is estimated to be worth up to £42 billion by 2035.
Neurotechnology crosses from moonshot to market. Clearer regulatory pathways and increased investment are propelling neurotech forward, from cochlear implants to brain-computer interfaces. Strong data governance will be essential for anyone developing in this field.
Quantum's long game: while worries about a quantum computing bubble may abate, quantum's potential as the next transformational development in computational power is set to continue attracting investor attention.
Ready to dive deeper?
This summary captures only a fraction of the insights, strategic opportunities, and challenges explored in our full Tech Predictions for 2026. From the nuances of ad-tech regulation to robotics-as-a-service, from copyright complications to immigration rule changes affecting the tech talent pipeline - the complete article delivers the foresight your organisation needs to navigate what promises to be a transformative year.
Read the full article to ensure your business is prepared for what's next.