- 87% of UK workers say language differences cause external challenges for their company – most commonly for customer support and overseas expansion
- Internally, over half (57%) of UK professionals feel ‘embarrassed’ that international colleagues are expected to switch to English for internal meetings
UK businesses are paying a high price for their reliance on English as the default language of global business. A new study reveals that UK business leaders estimate they are losing an average of over £300,000 in revenue annually due to language barriers – a silent cost now being dubbed the “Translation Tax”. This is according to a new study of 2,500 workers, including 500 business leaders at UK companies that operate internationally, from DeepL, a leading global Language AI company.
Language barriers undermining UK business growth overseas
Despite all surveyed companies operating globally in some way, 87% of workers say language differences cause challenges, with nearly half (47%) experiencing it at least once a week. Over half (53%) of UK business leaders who have experienced challenges admit that their company has not maximised international growth potential because of language barriers, and 57% say that these challenges are directly affecting negotiations and commercial outcomes.
UK business leaders surveyed the most common challenges created by a lack of language proficiency are customer support (34%), IT related issues (33%) and training (26%). In fact, 65% of business leaders admit lack of language proficiency makes communication with global customers challenging.
Internal communication: English or nothing
However, language-related challenges are leading not only to external issues, but also internal ones. 54% of workers say that language barriers are creating internal communication challenges between offices and teams in different countries. There’s an increasing feeling that UK companies have double standards, despite operating internationally, as 41% of workers say it is not encouraged to speak other languages internally. So much so that 57% of UK professionals feel ‘embarrassed’ that international colleagues are expected to switch to English, rising to nearly 7 in 10 Gen Zs (69%).
Language inequality persists, despite a desire for change
53% of business owners surveyed acknowledge that colleagues who don’t speak English fluently are at a disadvantage. Although nearly three-quarters (73%) of business leaders surveyed are given the opportunity to learn new languages, language inequality remains deeply entrenched. Language barriers aren’t just philosophical – they’re having a measurable impact on work. 59% of UK professionals surveyed say their performance has been negatively affected by language difficulties. For workers aged 18-24, that number rises to 65%. Despite this, only four in ten professionals are turning to AI to help navigate these challenges.
AI as a strategic solution
David Parry-Jones, Chief Revenue Officer at DeepL, underscored the urgency of adapting to a multilingual business environment: “While English remains the dominant language of international business, fluency is limited to just 20% of the global population. This study highlights a crucial reality: relying solely on English for external and internal communications can restrict market expansion and impactful team collaboration for UK companies.
“The financial impact of this overreliance – what we now recognise as the ‘Translation Tax’ – is too significant to ignore. In response, UK businesses are increasingly embracing AI to overcome these barriers. Our research shows that 72% plan to integrate AI into daily operations, and 60% agree that AI translation tools have had a positive impact on international operations.
“As global commerce becomes more interdependent, the UK’s reliance on English is becoming less of a competitive advantage and more of a liability. If British businesses are to unlock their full international potential, they will need to move beyond linguistic convenience and invest in multilingual fluency – both human and artificial.”
Methodology
The research was conducted by Censuswide, among a sample of 2,501 UK respondents (aged 18+) who work for firms with global staff where they speak different languages between offices/colleagues. (2,000 knowledge workers and 501 business leaders). The data was collected between 08.05.2025 and 19.05.2025. Censuswide abides by and employs members of the Market Research Society and follows the MRS code of conduct and ESOMAR principles. Censuswide is also a member of the British Polling Council.
*Total mean amount = £338,904
Business Leaders who ever encountered communication challenges due to language differences were asked: “estimate the total monetary cost to your business in 2024 due to language barriers, if anything, including delays, lost opportunities,inefficiencies, and reputational damage.”
About DeepL
DeepL is on a mission to break down language barriers for businesses everywhere. Over 100,000 businesses and governments and millions of individuals across 228 global markets trust DeepL’s Language AI platform for human-like translation in both written and spoken formats, as well as natural, improved writing. Designed with enterprise security in mind, companies around the world leverage DeepL’s AI solutions that are specifically tuned for language to transform business communications, expand markets and improve productivity. Founded in 2017 by CEO Jaroslaw (Jarek) Kutylowski, DeepL today has over 1,000 passionate employees and is supported by world-renowned investors including Benchmark, IVP and Index Ventures.
