Take 5 Report

Vibe coding in UK&I firms: Success hinges on embracing new ways of working and open governance

This HFS Research Take 5 report, produced in partnership with Cognizant, is for UK&I business and IT leaders evaluating how to adopt vibe coding at scale to unlock productivity gains and advance their Services-as-Software ambitions.

Background

Vibe coding is the production engine to make Services-as-Software real, but firms must address their skills challenge to succeed.

HFS Research has identified vibe coding as the production engine to make Services-as-Software™ real. It has the potential to deliver greater productivity uplift than previous citizen-developer models, but only for organizations that develop AI-native talent and redesign leadership behaviors to enable decentralized innovation.

Three-part circular diagram illustrating the relationship between three technology layers that together power the Services-as-Software flywheel. The center circle, labeled "The Service-as-Software (SaaS) Flywheel," is surrounded by three interlocking colored segments. The first segment, Agentic AI (Orchestrator), shown in purple, manages workflows, decisions, and compliance. The second segment, LLMs (Accelerator), shown in blue/teal, provides reasoning, content/code generation, and a knowledge interface. The third segment, Vibe Coding (Producer), shown in orange, turns intent into working service agents. Source: HFS Research, 2026.

In partnership with Cognizant, HFS Research hosted a Roundtable in London in late 2025 and unearthed real concerns from enterprise leaders who felt they lacked the right people and skills to scale success with AI. Their feedback shaped the questions for this survey, providing insights from 100 UK&I business and IT leaders to understand the impact vibe coding has and will have, the value to be created, and the barriers we must overcome to succeed.

Executive summary

UK&I firms must embrace new ways of working, underpinned by open and clear governance

HFS Research, in partnership with Cognizant, surveyed 100 business and IT leaders across UK&I to provide these insights:
    • Most firms are not culturally and organizationally ready for vibe coding
      27% actively don’t feel ready, and the largest group (38%) are still unsure.
    • Digital-savvy grads and early career technologists hold the key
      88% of respondents recognize that AI-native talent is critical to unlocking the full potential of vibe coding and to move the needle on their cultural readiness.
    • Cultural drag will hamper adoption
      Respondents see no more than 22% of their workforces actively using vibe coding within six months, slowed by risk aversion and lack of talent.
    • Leaders need to set clear rules
      The biggest shackles on progress with vibe coding are blockers from legal, security and compliance functions and lack of confidence among teams (49%/43%). Clear, competent, and visible governance must be deployed to break through.
    • Productivity is first
      Like so many new technologies, firms are pointing at vibe coding for productivity gains first and foremost. Acceleration is good, but transformation is better. Firms must embrace the latter to create real value.
    • Cursor is king
      Despite the rise of Lovable and Replit, Cursor is the current defacto choice among enterprise vibe coding tools.

The Bottom Line: UK&I firms must move faster to take advantage of near-term productivity gains and open their doors to more grads and early career technologists to provide both the capabilities and culture change they need to win with vibe coding.

      • Most UK&I firms are not ready

Most firms are not culturally and organizationally ready for vibe coding. We found that 27% actively don’t feel ready and 38% are still unsure.

Vertical bar chart showing responses from 100 UK&I business leaders to the question: "To what extent do you agree that your firm is culturally and organizationally ready to realize productivity gains from vibe coding?" The horizontal axis shows a 5-point scale from 1 (Strongly disagree) to 5 (Strongly agree). Results: 5 (Strongly agree) = 10%; 4 = 25%; 3 (Neutral) = 38%; 2 = 17%; 1 (Strongly disagree) = 10%. Bars are colored green for agreement (4 and 5), grey for neutral (3), and pink/red for disagreement (2 and 1). Sample: 100 UK&I business leaders. Source: HFS Research, 2026.

  • We are at the edge of a new culture in which impermanence takes precedence over software as structure: software for the moment and for the need, rather than built for the long run. It’s a lot to take in.
    • Nearly 38% of respondents are neutral on their readiness for vibe coding (rating 3 on the 5-point scale), indicating substantial uncertainty about their firm’s cultural and organizational readiness. This is a messaging and awareness problem as much as it is a capability problem.
    • With only 35% expressing confidence and 27% indicating they are not ready to realize productivity gains, there remains work to be done to educate firms on the benefits.
  • Does vibe coding need to be perfect, future proof, or endlessly maintainable? Rising stars such as Prompt Driven reject such notions, arguing that code is so cheap and fast to build and there is no point in maintaining or fixing creaking code bases when you can just build for your next situational requirement.
    • Digital-savvy grads and early-career technologists hold the key

Around 88% of respondents recognize that AI-native talent is critical to unlocking the full potential of vibe coding and moving the needle on their cultural readiness.

Vertical bar chart showing responses from 100 UK&I business leaders to the question: "How strongly do you believe that realizing the full value of vibe coding requires cultivating more AI-native talent (e.g., digital-savvy graduates, early-career technologists) within your organization?" The horizontal axis shows a 5-point scale from 1 (Strongly disagree) to 5 (Strongly agree). Results: 5 (Strongly agree) = 47%; 4 = 41%; 3 (Neutral) = 10%; 2 = 1%; 1 (Strongly disagree) = 1%. Sample: 100 UK&I business leaders. Source: HFS Research, 2026.

  • It seems UK&I firms are waking up to the fact that AI-native talent is the first place they should look to solve for the future.
  • The year 2025 was tough for grads as less roles were available. Firms put recruitment on pause while they tried to work out the potential impact of AI.
  • Our survey suggests that the brakes must be taken off. There is strong agreement that fresh blood is exactly what is needed to shift both the talent and culture needles.
    • Around 88% of respondents recognize that AI-native talent is critical to unlocking the full potential of vibe coding, with nearly half (47%) strongly agreeing. Organizations understand they can’t simply retrain legacy teams; they must infuse fresh perspectives by hiring digital natives who instinctively collaborate with AI.
    • Traditional software engineering skills are becoming table stakes. Organizations must now compete for a new breed of technologists: those who think in prompts, understand how AI models behave, and can orchestrate human-AI collaboration.
    • Cultural drag will hamper adoption

Respondents expect no more than 22% of their workforces to be vibe coding within six months, slowed by risk aversion and lack of talent.

Vertical bar chart showing expected percentage of workforce (defined as knowledge workers) actively using vibe coding capabilities at three future time points. Results: 6 months = 22%; 12 months = 44%; 18 months = 55%. All bars are shown in purple. Sample: 100 UK&I business leaders. Source: HFS Research, 2026.

  • Cultural blockers and limited skills base, are slowing the adoption of vibe coding in UK&I companies. This can be accelerated by sharing success stories openly and addressing the constraints identified in responses to our fourth question (check next slide).
    • Near-term adoption is minimal: Only 22% of the UK&I workforce is expected to actively use vibe coding capabilities within six months, suggesting that implementation will be limited to early adopters or isolated pockets in the organization. Rollout remains limited as firms face significant barriers to rapid adoption.
    • Mid-term growth remains modest. By the 12-month mark, adoption is predicted to reach 44%, doubling from the six-month figure but still leaving more than half the workforce without active access.
    • The 18-month outlook shows limited majority: Even at 18 months, only 55% of the workforce is projected to use vibe coding actively. The rate of adoption slows.
    • Leaders must set clear rules

The biggest shackles on progress are legal, security and compliance functions and lack of confidence (49%/43%). Governance is the answer.

Horizontal bar chart ranking 20 constraints preventing wider adoption of vibe coding practices. Results from highest to lowest: Risk aversion from legal, security, or compliance functions = 49%; Teams lack confidence in how to use vibe coding effectively = 43%; Concerns about long-term maintainability and technical debt = 38%; Difficulty auditing, explaining, or validating vibe-coded outputs = 32%; Fear of creating unmanaged shadow IT or shadow engineering = 31%; Poor data accessibility, structure, or reliability = 30%; Security or access constraints limit effective use of AI tools = 27%; Misalignment between innovation teams and core IT/engineering = 25%; Tooling does not integrate cleanly with existing dev environments = 24%; Limited availability of practitioners experienced in production use = 22%; Insufficient training or enablement for AI-assisted development = 21%; Incentives favor process compliance over speed or experimentation = 20%; Existing SDLC, governance, or review processes are incompatible = 20%; Resistance from established engineering or architecture leaders = 19%; Over-reliance on individual "power users" = 18%; Unclear standards for testing, documentation, or handover = 18%; Legacy systems or monolithic architectures limit applicability = 17%; Lack of executive confidence in outcomes or ROI = 17%; Perception that vibe coding is informal, risky = 16%; No clear ownership or accountability model for vibe-coded assets = 13%. Sample: 100 UK&I business leaders. Source: HFS Research, 2026.

  • Nearly half of the survey respondents cited risk aversion from legal, security, and compliance functions as the primary constraint on adopting vibe coding. However, this risk aversion masks a deeper concern: organizations lack relevant governance frameworks that could give them the confidence to make faster progress.
  • The 43% capability gap is the second foundational blocker. You can deploy tools, but unless developers understand how to use them safely and effectively, adoption will remain shallow.
  • The combined 70% concern about maintainability and auditability suggests most firms will not deploy vibe coding in mission-critical systems without implementing appropriate controls and governance.

While recognizing these concerns, firms must also prepare to adapt how and why they govern to align with the cheap, fast, and disposable benefits of vibe coding.

    • Productivity and speed first and foremost

Like so many new technologies, firms are expecting productivity gains first. Acceleration is good, but transformation is better.

Stacked horizontal bar chart showing ranked ROI priorities for vibe coding initiatives over the next 18 months, broken down into Rank 1, Rank 2, and Rank 3 preferences across seven categories. Results by category: Productivity : Rank 1: 26%, Rank 2: 20%, Rank 3: 15%; Cycle-time reduction : Rank 1: 22%, Rank 2: 22%, Rank 3: 11%; Customer experience : Rank 1: 19%, Rank 2: 12%, Rank 3: 18%; Cost avoidance : Rank 1: 12%, Rank 2: 15%, Rank 3: 7%; Quality uplift : Rank 1: 10%, Rank 2: 8%, Rank 3: 20%; Employee satisfaction : Rank 1: 6%, Rank 2: 8%, Rank 3: 18%; New revenue : Rank 1: 5%, Rank 2: 15%, Rank 3: 11%. Rank 1 is shown in purple, Rank 2 in orange, Rank 3 in pink/magenta. Sample: 100 UK&I business leaders. Source: HFS Research, 2026.

  • Enterprises are deploying vibe coding as an acceleration play rather than to reshape outcomes or how they conduct work. The emphasis on doing more and much faster with existing resources suggests a pragmatic, risk-averse adoption pattern. Transformation, innovation, and new business models will follow later.
    • Productivity is among the top three ROI priorities for 61% of the respondents, with 26% placing it first. This signals that enterprises see vibe coding primarily as a force multiplier for existing teams.
    • Cycle-time reduction featured in the top three for 55%, with 22% ranking it first. Combined with productivity, this paints a clear picture: organizations seek to accelerate delivery rather than transform what they deliver.
    • Customer experience follows close behind at 49%, indicating that firms are recognizing the opportunity to shape better customer outcomes.
    • Cursor is king

Despite the rise of Lovable and Replit, Cursor remains the UK&I’s top choice among enterprise vibe coding tools.

Stacked horizontal bar chart showing ranked tool preferences for enterprise vibe coding, broken down into Rank 1, Rank 2, and Rank 3 preferences across nine platforms. Results by platform: Cursor : Rank 1: 25%, Rank 2: 15%, Rank 3: 16%; Replit : Rank 1: 18%, Rank 2: 16%, Rank 3: 11%; v0 : Rank 1: 15%, Rank 2: 15%, Rank 3: 10%; Lovable : Rank 1: 12%, Rank 2: 11%, Rank 3: 12%; Bolt : Rank 1: 9%, Rank 2: 13%, Rank 3: 9%; Tempo Labs : Rank 1: 9%, Rank 2: 13%, Rank 3: 11%; Base44 : Rank 1: 7%, Rank 2: 8%, Rank 3: 18%; Memex : Rank 1: 4%, Rank 2: 8%, Rank 3: 13%; Other : Rank 1: 1%, Rank 2: 1%, Rank 3: not shown. Rank 1 is shown in purple, Rank 2 in orange, Rank 3 in pink/magenta. Data as of January 2026. Sample: 100 UK&I business leaders. Source: HFS Research, 2026.

  • This is a new market with performance updates landing in rapid iterations. While Cursor leads the way among UK&I enterprises, they should be wary of committing too hard and fast to any particular tool.
  • As of January 2026:
    • Cursor secures 25% of rank 1 preferences and a combined 56% across the top three rankings giving it a meaningful lead over its nearest rival, Replit, which records 18% in rank 1 and 45% in combined top-three preference.
    • The rapidly rising Europe-based Lovable and v0 form a strong second tier, each landing between 35%–40% of the combined top three mentions, suggesting that developers are   actively experimenting beyond the two front-runners but have not yet converged on a single alternative.
The Bottom Line: UK&I firms must move faster to take advantage of near-term productivity gains and open their doors to more grads and early-career technologists to provide the capabilities and culture change to win with vibe coding.

“We have long relied on enterprise IT for its solid architecture, rigorous testing, and robust governance. Today, code is increasingly spun up to answer a question, automate a quarterly decision, fill a temporary capability gap, run a quick experiment, or comply with regulatory windows.

Vibe coding meets these demands when paired with clear governance and appropriate controls. It is the production engine that drives your Services-as-Software ambitions. It is not a nice-to-have, but an essential capability. And the fastest way to make this happen is to bring in more grads and early-career technologists who can deliver vibe coding at scale.”

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