A recent study by BT highlights significant trends in the adoption of digital technology among small businesses in the UK, revealing that 67% believe technology plays a crucial role in preserving their traditional practices. This sentiment is notably stronger among businesses established prior to 1900, with 81% acknowledging the positive impact of digital tools on their heritage.
The research indicates that a remarkable 78% of small businesses have embraced new technological advancements within the last year, with a particular focus on cybersecurity measures and social media engagement. A substantial proportion of small business leaders, 77%, assert that these innovations are vital for their companies' survival. Additionally, 89% report that digital technology has created new revenue opportunities, and 80% believe it has provided a competitive advantage, while 79% state that it has enabled better customer connections.
Despite the evident shift towards digitalization, the study also uncovers a considerable segment of the market still reliant on traditional methods. Approximately 22%, equating to more than one million small and medium businesses in the UK, describe themselves as “analogue-first,” relying on outdated technologies such as landlines, paper contracts, and even fax machines. BT's findings reveal that one in six businesses still operates with fax machines—a technology largely considered antiquated.
The broader context of this transition is the imminent retirement of the Public Switched Telephone Network (PSTN), which has served the UK for over 40 years. BT is advocating for a migration from this ageing copper-based network to newer digital alternatives, prompting a move that is projected to future-proof business infrastructure. The crucial deadline for businesses to complete this switchover is set for the end of 2025, ahead of the PSTN's final shutdown scheduled for January 2027. Alongside traditional landlines, other services and equipment dependent on the PSTN, such as certain alarms and CCTV systems, will also become non-operational, necessitating a comprehensive transition.
Kerry Small, Chief Operating Officer – Business at BT, commented on the research, stating, “These figures show that the majority of the UK’s small businesses have been in upgrade mode this year – embracing the tech to help them thrive in a digital world.” She urged analogue businesses to make the switch, highlighting the improved connectivity, stability, and security that digital technologies offer.
In a notable collaboration, Will Kirk, known for his role in BBC's The Repair Shop and as a Heritage Crafts ambassador, has teamed up with BT to promote the adoption of digital technologies among traditional businesses. Kirk emphasised the importance of leveraging digital tools to reach new customers while preserving the essence of longstanding business practices, saying, “Embracing digital tech can help small businesses with decades of history streamline services and stay competitive."
One practical example of this transition can be seen in Birmingham at York Supplies hardware store, which benefitted from a full technological overhaul following a community-led buyout in 2022. After adopting fibre-to-the-premises broadband and modern point-of-sale systems, the store has been able to engage its local customer base more effectively, growing its presence on social media significantly.
Richard Bickle, Director of York Supplies Community Society, remarked on the positive changes brought about by the digital transition, noting that their technology upgrade “quietly supports the business as we venture into social media and online ordering systems, all to help our heritage business to continue thriving in the 21st century.”
BT's ongoing efforts and partnerships with businesses highlight a determined push towards a digitally connected UK economy, where traditional firms are encouraged to adapt to modern practices while maintaining their legacy and community ties.
Source: Noah Wire Services