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Notes from the frontier.

Research, operating lessons, and sharp takes on what it actually costs to put AI to work inside real businesses.

Read the signals early

Each post is designed like a working note: a clear thesis, grounded evidence, and a direct path into the full argument.

AI Economics•15 Apr 2026•7 min read

UK Tech Sector: Average Salary vs AI Spend Per Employee

This post compares historical UK tech salary data with estimated AI spend per employee, then projects both curves forward to identify the point where software spend starts to rival payroll cost.

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Research note

15 Apr 2026 · 7 min read

Version 1 ▾

The chart pulls together UK digital-sector salary benchmarks and multiple AI investment signals to compare labor cost growth with estimated AI spend growth.

Based on the current fit, AI spend per employee is projected to converge with average tech salary cost around Q4 2026, at roughly GBP 52k.

Pressure-test the assumptions, show the trend lines clearly, and keep the methodology legible for non-technical readers.

Rather than treat AI as a fuzzy macro trend, the article frames it in unit economics terms: what happens when annual software spend per employee starts to look like annual salary cost?

AI Economics•15 Apr 2026•7 min read

UK Tech Sector: Average Salary vs AI Spend Per Employee

Projected crossover in Q4 2026

A data-led look at UK tech compensation and AI investment, with a projection for when AI spend per employee may converge with average salary cost.

Salary growth trends remain linear. AI tooling spend appears to be compounding much faster.

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The important question is not whether AI is getting cheaper. It is what cost structure gets rewritten when it does.

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