In short
The EU AI Act (Regulation (EU) 2024/1689) is the European Union’s law on artificial intelligence. It entered into force on 1 August 2024 and its obligations apply in stages. It sorts AI uses by risk and sets different rules for each level. This page is a high-level overview and general guidance, not legal advice.
How it can reach a UK business
The Act applies to providers that place AI systems or general-purpose AI models on the EU market, wherever those providers are based. It also applies to providers and deployers outside the EU where the output produced by the AI system is used in the EU, and to deployers located in the EU.
In practice, a UK software company selling an AI product to EU customers is likely to be in scope as a provider. A UK business using AI to serve customers in the EU may be in scope depending on what the system does and where its output is used. A UK business using AI only for its own UK work is less likely to be directly affected, though its suppliers may be.
The risk categories
| Prohibited practices | A short list of uses that are banned, such as social scoring and certain manipulative techniques, and some uses of emotion recognition in workplaces and education. |
|---|---|
| High-risk systems | Uses in sensitive areas, such as recruitment and managing workers, access to essential services such as credit, and education. These carry the heaviest obligations, including risk management, documentation and human oversight. |
| Transparency obligations | Some systems must make clear that AI is involved, for example telling people they are interacting with an AI system such as a chatbot, and marking or disclosing certain AI-generated or manipulated content. |
| General-purpose AI models | Obligations for providers of large models that can be used for many tasks, with additional duties for the most capable models. |
| Minimal risk | Most everyday uses, such as spam filters or drafting help, have no specific new obligations under the Act. |
Timelines have changed, so check the current position
Different parts of the Act apply from different dates, and the EU has considered changes to some of the timings since the Act was adopted. Rather than relying on a date you read in an article, check the European Commission’s current guidance or take legal advice before making decisions that depend on when an obligation applies.
The Act also includes a duty on providers and deployers to take measures to ensure their staff have a sufficient level of AI literacy, which is a sensible goal for any business using AI.
The UK position
The UK has not adopted the EU AI Act. Its 2023 white paper, “A pro-innovation approach to AI regulation”, set out a principles-based approach in which existing regulators apply principles such as safety, transparency, fairness, accountability and contestability within their own areas. UK policy on AI regulation continues to develop, so check the current position.
Existing UK law still applies to AI. If an AI system processes personal data, UK GDPR and the Data Protection Act 2018, as amended by the Data (Use and Access) Act 2025, apply, and the ICO is the regulator. Consumer protection, equality and sector rules also apply.
Practical steps
List the AI systems you build or use, and note which ones touch EU customers, users or markets. For each, consider which risk category it might fall into. Most small business uses, such as drafting help or a well-labelled chatbot, are likely to sit in the lower categories, but uses in recruitment, credit or education need closer attention.
Ask your AI suppliers how they are approaching the Act, and tell people when they are dealing with an AI system. If you sell AI products or services into the EU, take specialist legal advice.
When this matters
Relevant to UK businesses that sell into the EU, serve EU customers or build AI products. New Era AI considers regulatory exposure as part of its audits and roadmaps, but is not a law firm, and you should take specialist legal advice on the EU AI Act for your situation.
Questions
Does the EU AI Act apply in the UK?
It is not UK law. It can still apply to UK organisations that place AI systems on the EU market or whose AI output is used in the EU.
Does a chatbot on our website fall under the EU AI Act?
If it serves people in the EU, it may fall under the transparency rules, which centre on making clear that people are interacting with an AI system. Check the current guidance and take advice.
When does the EU AI Act apply?
It entered into force on 1 August 2024 and applies in stages. Some timings have been subject to change, so check the European Commission’s current guidance for the dates that matter to you.
Is this legal advice?
No. It is a general overview. For your specific situation, take advice from a qualified lawyer familiar with the EU AI Act.