Australians fear losing control to AI: KPMG Futuresphere 2025 report

14 October 2025

• 64% of Australians fear the loss of personal or societal control due the rise of AI
• 38% are feeling optimistic about the next 20 years
• 75% are concerned about their digital identity being misused or stolen in the future 
• 54% disagree that trust in institutions – government, business, media – is increasing.

Australians are highly concerned about the rise of AI, with 64 percent fearing the loss of personal or societal control, according to the KPMG Futuresphere 2025 report.

The research was carried out by KPMG Australia to assess the nation’s attitude towards the future. Only 38 percent say they feel optimistic about the next 20 years, with 46 percent saying they are concerned and 17 percent feeling neutral.

“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,” said James Mabbott, Partner, KPMG Futures. “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.”

“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," he added.

Alarm over AI impact on society

Despite the benefits that new technologies are delivering to society there is significant alarm around AI, particularly among older demographics. While one in two (52 percent) Australians agrees technology will improve life for most people in the coming decade, people are split on the benefits of AI. Just a third (33 percent) agree AI will make life better for most people by 2040, a third are unsure (34 percent neither agree nor disagree), and a third disagree (33 percent).

There are high levels of concern around safekeeping digital identities, and mixed levels of trust in institutions. Three-quarters of Australians (75 percent) are concerned about their digital identity being misused or stolen in the future and over half (54 percent) disagree that trust in institutions - government, business, media - is increasing.

The loss of jobs is another issue, with 40 percent of Australians overall disagreeing that automation and robotics will create more opportunities than they eliminate. There is appetite for government to provide greater supports to manage this transition. Currently, workforce composition trends show a rise in professional, knowledge-based and personal service workers, but a drop in several manual trade and clerical roles.

Younger generations more optimistic

However, young people remain more optimistic, with 18–34-year-olds feeling optimistic about their quality of life and the control they will have to shape the future. Over half (56 percent) agree their personal quality of life will improve over the next decade, compared with 48 percent of Australians 65+ who disagree it will improve.

Younger Australians also feel more empowered to shape or influence the future (49 percent vs 33 percent of Australians overall). Older Australians, as well as those living in regional areas, are significantly more likely to disagree that they feel empowered to shape the future or that artificial intelligence will make life better for people by 2040.

Petah Marian, Director of Foresight KPMG Futures, said: “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 percent of the global workforce will need to retrain or upskill due to AI.

“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."