EU AI Act fines: what's realistic for SMEs

The maximum numbers

• Prohibited AI practices: up to €35M or 7% of global turnover
• High-risk non-compliance: up to €15M or 3% of turnover
• Other violations (incl. Article 50): up to €7.5M or 1% of turnover

What enforcement looks like for smaller teams

Regulators have said enforcement will be proportionate. They're not going to chase a 20-person agency for a missing chatbot notice on day one. But “proportionate” isn't the same as “won't happen”.

Early enforcement will likely focus on serious harm. Prohibited practices, high-risk systems without documentation — not a missing footer disclosure on a marketing chatbot. Fixing the straightforward stuff is cheap and removes an easy target.

The bigger risk: procurement

For most UK teams, the more immediate pain isn't a regulator at the door. It's enterprise clients asking for AI compliance docs before renewing a contract. Showing you've sorted Article 50 and Article 4 is becoming a sales differentiator.