Most Australians fear AI impact, urge action on tech trust gap

Australians are expressing significant concern over the advance of artificial intelligence, with a majority fearing a loss of personal or societal control, according to the KPMG Futuresphere 2025 report.

The report, compiled by KPMG Australia, provides a detailed assessment of national attitudes towards the future, particularly focusing on emerging technologies. Data from the report reveals that while 38 per cent of Australians say they feel optimistic about the next 20 years, nearly half, or 46 per cent, report feeling concerned. A further 17 per cent remain neutral.

Government's role

James Mabbott, Partner at KPMG Futures, highlighted the implications of the findings for policymakers, noting the need to build public understanding and bolster confidence in artificial intelligence.

"The findings underscore the need for governments to build knowledge and confidence in AI, to help citizens understand the changes that are happening now and prepare for new ways of working. AI and other advanced technologies hold enormous potential for the betterment of society. We have a short window in time as a society to make smart decisions around how we want to embrace these new technologies. The time to act is now if we want Australia to benefit from the wave of AI and other tech-driven disruptions that are on the way."

Mabbott also addressed the broader regulatory landscape, adding, "Despite existing frameworks, public confidence in AI regulation is low. Governments must find the right balance of regulation to safeguard against known harms while also supporting innovation and economic opportunity. Building public understanding of how AI works - including its benefits, risks, and safeguards - will be integral to fostering trust in an increasingly polarised world."

Social concerns

The report shows that while technology in general is viewed more positively, the specific topic of AI remains divisive. While 52 per cent of Australians agree technology will improve life for most people in the coming decade, only 33 per cent believe that AI specifically will have a positive impact by 2040. Another third, 34 per cent, are unsure and a similar proportion disagrees that AI will make life better for most Australians.

Worries about digital identity theft are also widespread, with three-quarters (75 per cent) of respondents expressing concern about their digital identity being misused or stolen. Trust in institutions such as government, business, and media is similarly low, with 54 per cent disagreeing that trust in these bodies is increasing.

Concerns about job security and the impact of automation and robotics stand out. Forty per cent of respondents do not believe that automation and robotics will create more employment opportunities than they take away. The report describes a shift in employment trends, with growth in professional, knowledge-based, and personal service sectors, contrasted with declines in manual trade and clerical roles.

Younger generations

Younger Australians demonstrate more optimism, particularly those in the 18-34 age bracket. Over half (56 per cent) in this group expect their quality of life to improve over the next decade, contrasting with 48 per cent of Australians aged 65 and over who disagree with the prospect of improved quality of life.

Younger Australians also feel a greater sense of agency, with 49 per cent stating they feel empowered to shape or influence the future, compared to just 33 per cent of Australians overall. By contrast, older Australians and residents of regional areas are less likely to feel empowered or believe in positive outcomes from artificial intelligence advancements by 2040.

Workforce implications

Petah Marian, Director of Foresight at KPMG Futures, described the transformation occurring across industries due to AI, pointing out changes affecting both manual and knowledge work.

"AI agents are already taking over manual processes, making worksites safer, driving advances in medicine and improving environmental monitoring and control. They are also empowering a new generation of 'solopreneurs' to start scalable businesses. In response, the workforce must adapt, with forecasts that that nearly 60 per cent of the global workforce will need to retrain or upskill due to AI."

Marian added, "Governments will need to support citizens in managing this shift, depending on how quickly AI innovation and application takes place, including through investing in AI literacy and retraining efforts."

The KPMG Futuresphere 2025 report underscores a period of substantial uncertainty, with public attitudes demonstrating both apprehension and pockets of optimism as Australia navigates technological change driven by artificial intelligence.