AI-driven attacks have emerged as the leading cyber threat for large organisations, with businesses divided on how far artificial intelligence strengthens defences or deepens exposure, and UK executives showing far less confidence than their US peers.

This is amongst the findings of research published by Axis Capital, based on a survey of 500 CEOs and CISOs in the UK and US.

Around 30% of US respondents and just over 20% in the UK identified AI-enabled attacks as the most significant emerging cyber risk. While AI was widely viewed as a driver of efficiency and innovation, confidence in preparedness varied sharply. In the US, 85% of respondents said they felt ready for AI-related cyber threats, compared with 44% in the UK.

Nearly 90% of US CEOs believed AI would strengthen their cyber safeguards, versus 55% of UK CEOs. Personal trust in AI tools to support cyber decisions stood at 82% in the US compared with 47% in the UK.

Despite the heightened risk outlook, organisations are planning to invest more. About 82% of respondents said they expected to increase cyber security budgets over the next year, although 76% also anticipated reducing cyber headcount as productivity gains from AI-enabled tools took effect.

Perceptions also differed by role. CEOs were consistently more optimistic than chief information security officers that AI would improve cyber defences and decision-making. While 60% of CEOs believed their organisation was better prepared than peers to respond to AI-related threats, only 51% of CISOs agreed. CISOs identified unauthorised use of AI as their primary concern, while CEOs ranked data leakage as the most serious AI-related risk.

“AI is clearly a transformative force for data analytics, innovation and operational efficiency, and it is also undeniable that AI is quickly propelling us toward an entirely new risk landscape,” said Vince Tizzio, Axis president and CEO. “The findings in this report underscore our new environment, where a technology that promises untold productivity gains is also creating unprecedented risk.”

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