For our final article of 2025, we take a look through a very uncertain crystal ball at how the next ten years could develop in the technology sector. What could the IT landscape of 2035 look like?
In a decade’s time, it’s realistic to expect a workplace dominated by AI, automation and project, rather than routine-based work. For contractors, it’s realistic to expect a hugely AI-augmented work environment. However, a Smart Machines report by the UK government, echoed in an Accenture survey, forecasts that, despite significant automation, overall demand for highly-skilled and experienced tech professionals will grow, particularly in terms of complex digital transformation, cyber and of course, AI.
One of the biggest shifts for IT contractors will be the role of AI as a default “co‑worker”. Productivity studies from McKinsey, and another by the consultancy Vanguard, already indicate that generative AI could increase labour productivity growth by between 0.1 and 0.6 percentage points annually through to 2040, depending on how quickly organisations adopt the technology. Accenture argues that AI “has the potential to increase corporate profitability by an average of 38% by 2035 and boost labour productivity by up to 40%” by transforming how work is done, a pattern that aligns with some recent projections of a 20% uplift in productivity from AI integration by the mid‑2030s.
No Avoiding Automation
For contractors, this suggest that coding, testing and documentation will be heavily supported or partially automated by AI tools, this will have an effect on day or hourly rates and client expectations towards roles that emphasise architecture, integration, governance and stakeholder communication rather than purely hands‑on coding.
Automation will, however, fundamentally reshape the job market in ways that contractors need to understand and prepare for. A recent report from the UK’s National Foundation for Educational Research warns that “up to 3 million low‑skilled jobs in the UK could disappear by 2035 due to the growing adoption of automation and AI”, with trades, machine operations and administrative roles particularly exposed. Yet the same analysis stresses that the overall UK labour market is still expected to grow by around 2.3 million jobs by 2035, with the gains concentrated in professional, technical and managerial roles that rely on higher‑order skills. At EU level, the European Commission estimates that between 37% and 69% of jobs could be partly automated in future, and that for a further 25% of jobs, 50–70% of tasks are likely to change, and although this report was published some years ago, it underscores how important adaptability, and the ability to refocus on projects, will be for contractors.
The ‘Gig’ Economy
The gig and freelance segment that many IT contractors already inhabit is also set to expand. Industry analyses suggest that by the mid‑2020s, more than 1.5 billion people are already engaged in some form of gig work worldwide, and that the sector is shifting from low‑skill to high‑skill services such as consulting, marketing and technology. One recent HR review of the gig economy noted that high‑earning freelancers making over 100,000 dollars grew from 3 million in 2020 to 5.6 million in 2025, arguing that “gig work is no longer just a side hustle but a viable career path.” Looking ahead to 2030 and beyond, gig economy specialists predict continued growth in “white‑collar gig work” and a rise in gig‑based entrepreneurship, where individuals act as micro‑businesses with multiple income streams and portable benefits. For IT contractors, this points towards an ecosystem in 2035 where platform reputations, verified skills and AI‑driven matching play a major role in securing engagements.
Skills, Skills and More Skills
At the same time, the nature of “future‑proof” skills is becoming clearer, and this has direct implications for how contractors should prepare for 2035. The EU’s Knowledge4Policy platform highlights that jobs most resilient to automation are those requiring creativity, complex problem‑solving and social intelligence, which are significantly harder to codify into algorithms. The World Economic Forum has likewise warned that 60% of workers globally will require additional training or upskilling by 2027, a trend that is likely to continue into the 2030s as AI tools diffuse through every sector. Productivity research from Wharton’s budget model suggests that AI could raise GDP by 1.5% by 2035, but stresses that the distribution of gains will depend heavily on how effectively workers and organisations adapt their skills to new AI‑intensive workflows. Contractors who invest early in AI literacy, data fluency and domain knowledge will therefore be better placed to capture these gains.
The Future Will not be Jobless
The broader policy and industrial context should also matter to how contractors think about 2035. The UK government’s “Smart Machines Strategy 2035”, mentioned above, frames AI, robotics and automation not just as a threat but as a source of new industries and jobs, stating that growth will come from “reduced costs, improved productivity, and the creation of new industries and jobs, boosting employment prospects”. Long‑run modelling by researchers such as Tom Cunningham estimates that the AI revolution could add between 0.8 and 1.3 percentage points to aggregate productivity growth per year, depending on how widely AI diffuses across sectors—an effect that would underpin sustained demand for technology projects. Yet there are also more radical voices; one 2025 essay on AI and jobs bluntly predicts that “AI will replace most jobs between 2025 and 2040”, leading to debates about universal income and new forms of social protection. For IT contractors, the reality is likely to sit between these extremes: a world where some routine coding and support roles are hollowed out, but where demand is strong for those who can design, govern and secure complex socio‑technical systems.
By 2035, then, the IT industry will almost certainly be more automated, data‑driven and platform‑mediated than today, but it certainly will not be “jobless”. Studies from McKinsey and others indicate that AI and automation will simultaneously create new roles even as they displace old ones, especially around AI engineering, data stewardship, cybersecurity, and digital transformation leadership. As one investor‑focused analysis puts it, “as AI integrates into the workforce by 2035, the average automation rate across all jobs will exceed 20%, equivalent to freeing up one day of work per week”, but that freed‑up capacity will be redeployed into higher‑value activities rather than simply disappearing. For IT contractors, the opportunity lies in positioning themselves at the intersection of human judgement and machine capability—learning to orchestrate AI, manage risk and deliver outcomes in a world where technology is both the engine of growth and the arena in which careers are made or broken.