As exploitation becomes more sophisticated and technology-driven, organisations face growing pressure to strengthen governance and due diligence.
The Scale of Modern Slavery Risk Is Growing
This week’s release of the UK’s latest modern slavery figures offers a stark reminder that the issue is not only growing but evolving. In 2025, more than 23,000 potential victims were referred to the National Referral Mechanism, representing a 22% increase on the previous year and the highest level ever recorded. The Independent Anti-Slavery Commissioner has been clear that this rise cannot be explained by improved reporting alone. Instead, it reflects a deeper, structural shift: exploitation is becoming more embedded within economic systems and is increasingly difficult to detect.
For businesses, this evolution fundamentally reshapes the nature of modern slavery risk. What was once often considered a peripheral or reputational issue is now a core governance challenge, intrinsically linked to how organisations source, contract and operate.
Exploitation is not concealed overseas
Recent reporting continues to challenge the misconception that modern slavery is confined to distant regions or informal economies. A significant proportion of victims in the UK are UK nationals, underscoring how exploitation is interwoven within domestic labour markets and everyday economic activity. This reflects wider systemic pressures, rising living costs, insecure work and global instability create conditions where exploitation can thrive.
For organisations operating within this environment, these pressures intersect with traditional business practices. Multi-tier supply chains, subcontracting models, and labour-intensive sectors can limit visibility and create distance between organisations and workers. In this context, modern slavery becomes an operational risk demanding ongoing, evidence-based oversight and not a hypothetical concern.
Compounding the challenge is the accelerating role of technology. Recent analysis highlights how artificial intelligence is now being used to identify, recruit and control victims at scale. Leveraging technology through the use of deepfakes and sophisticated false identities increases the complexity for many businesses relying on traditional compliance mechanisms alone.
Static Audits Cannot Keep Pace With Dynamic Risk
The implication for businesses is clear: risk is becoming more dynamic and increasingly hidden. Approaches that rely on static data, periodic audits, or surface-level disclosures are not sufficient in isolation. Instead, organisations must adopt more holistic and continuous approaches to understanding and managing risk, ones that reflect the pace and complexity of modern exploitation.
At the same time, expectations from regulators, investors, and wider stakeholders are intensifying. Policy makers in the UK are signalling a direction of travel towards stronger corporate accountability, including enhanced due diligence obligations that mirror developments seen in Europe. Investors are also placing greater emphasis on credible ESG performance, particularly as sustainability reporting frameworks such as the emerging UK Sustainability Reporting Standards and the EU’s Corporate Sustainability Reporting Directive require organisations to identify and disclose material human rights risks.
Compliance is no longer enough
This merger of increased risk and rising expectation places businesses at a crossroads. Compliance with existing legislation will not be enough. Organisations will need to demonstrate that they have embedded robust governance frameworks, effective risk management practices and meaningful transparency into their operations to address the growing scale of exploitation.
Organisations must shift from being reactive to proactive
In practical terms, this calls for a shift in both strategy and mindset. Moving beyond reactive approaches towards prevention and proactivity will be essential. This includes developing a deeper understanding of evolving risk exposures and recognising that traditional risk indicators of exploitation may no longer be sufficient. Listening to and learning from those with lived experience continues to become increasingly important in shaping more effective approaches to identifying, addressing, and preventing harm.
A more proactive, people-first approach not only protects human rights but also strengthens resilience and supports long-term, sustainable value creation. Ethical business practices and commercial performance are not mutually exclusive; they are directly linked.
As slavery evolves, businesses must adapt
Ultimately, the latest data reinforces the reality that modern slavery is not diminishing, it is evolving and expanding. As exploitation becomes more complex and increasingly enabled by technology, the responsibility on businesses to adapt grows.
Now is not the time to question whether modern slavery risks exist within operations. The more pertinent question is whether organisations have the awareness, capability, and commitment to respond effectively.
