What Small Business Owners Should Know About AI Call Recording and GDPR

A practical guide for UK businesses using Voice AI responsibly

Voice AI technology is becoming a core part of how UK businesses manage calls, book appointments, and capture leads.
But with that power comes responsibility.

If your AI system records or transcribes calls, you need to understand how GDPR and privacy law apply.
At AI-M8, we help small and medium-sized businesses implement Voice AI safely using the HighLevel platform, ensuring every system is compliant, transparent, and secure.

Here’s what every UK business owner should know about AI call recording, transcription, and GDPR.

1. You Can Record and Transcribe Calls Legally in the UK

Under UK GDPR and the Data Protection Act 2018, businesses can record and transcribe calls if there is a lawful basis for doing so.

Common lawful bases include:

• Legitimate interest – recording calls to improve service quality or accuracy

• Consent – when the caller agrees after being notified

• Contractual necessity – when call details are required to deliver a service

At AI-M8, our Voice AI systems can record and transcribe inbound calls. This feature is used only to improve accuracy, measure response quality, and provide better service for clients.

Importantly, all of our current clients use AI call recording only for inbound calls – never for personal, legal, or sensitive conversations.

If a call ever moves into that territory, our AI agents are trained to forward the caller to a real person immediately.

That’s a vital safeguard that protects both the business and the customer.

2. Always Inform Callers That Calls May Be Recorded

Transparency is a cornerstone of GDPR compliance.
You must always tell people if a call is being recorded or transcribed.

A simple notification at the start of the conversation is enough, such as:

“This call may be recorded and analysed for training or quality purposes.”

HighLevel allows you to add this notice automatically to all AI-handled calls.

This approach ensures that your use of Voice AI remains compliant, ethical, and fully transparent.

3. Store Call Data Securely and Limit Access

Recording or transcribing calls creates data that must be handled carefully.
Under GDPR, recorded audio and transcripts are considered personal data.

That means they must be:

• Stored securely using encryption and restricted access

• Kept only as long as necessary for business use

• Deleted safely when no longer required

At AI-M8, we use HighLevel’s secure infrastructure and cloud storage to ensure compliance.
Only authorised users can access recordings, and all data is encrypted both in transit and at rest.

If a client ever leaves the platform, they can export or permanently delete all call data at any time.

4. Avoid Recording Personal or Legal Conversations

Not every conversation should be handled by an AI system.

Voice AI is ideal for enquiries, bookings, sales leads, and general service calls.
It should not handle or record conversations that are personal, sensitive, or legal in nature.

That’s why AI-M8 advises all clients to configure their AI agents with a human escalation rule.
If the caller begins discussing anything sensitive, legal, or emotional, the AI should forward the call to a real team member.

This approach keeps you compliant and ensures that AI never crosses into areas it shouldn’t.

5. Keep Written Policies and Internal Guidelines

GDPR requires that you have clear policies about how and why calls are recorded.

If you are using Voice AI for inbound calls, document:

• Why recordings are made (for service improvement or quality control)

• How long recordings are stored

• Who has access

• How customers are informed

AI-M8 provides clients with template documentation and practical guidance so their internal processes stay aligned with UK GDPR best practice.

Having clear written policies also helps if you ever face a data-protection audit or customer enquiry.

6. Balance Automation with Human Oversight

Automation works best when paired with human review.

Regularly check a small sample of recordings to ensure the AI’s tone, phrasing, and compliance remain accurate.
If something sounds too formal, repetitive, or unclear, update your scripts and re-train your AI.

This keeps your system aligned with your brand voice and ensures ongoing legal compliance.

7. The AI-M8 Approach to Responsible Voice AI

At AI-M8, we believe automation should make business easier, not riskier.
Every Voice AI system we deploy is:

• Built on HighLevel, the trusted CRM platform used by over two million businesses worldwide

• Configured for compliance, with consent prompts and data-protection settings

• Trained for escalation, handing off to humans when needed

We also make it affordable. Through MarketerM8, you can access HighLevel for just £97 per month, including all the features needed for safe, compliant automation.

8. Want to Hear a Compliant Voice AI in Action?

If you’d like to experience how a compliant Voice AI system works, call +44 789 7031750.
You’ll be connected to our own AI-M8 system, which records inbound calls transparently and securely.

Or, if you want to review your current processes, start with a free AI-M8 Growth Audit.
We’ll map your call flows, identify potential compliance risks, and help you automate safely.

Book your free pre-audit call here
or learn more about Voice AI, Review Booster AI, and Growth Audits.

Written by Atticus Mills - Marketing Consultant at MarketerM8 and AI Implementation Specialist at AI-M8.