UK Government promises to revolutionise public services through AI

The UK Government has promised to revolutionise public services through artificial intelligence (AI).

Unveiling details of the government’s AI Opportunities Action Plan, Prime Minister Sir Keir Starmer spoke of the potential of AI to transform lives, as well as boost the economy. The IMF estimates that embracing AI can boost productivity by as much as 1.5 percent a year. If fully realised, these gains could be worth up to an average £47 billion to the UK each year.

Three major tech companies – Vantage Data Centres, Nscale and Kyndryl – have committed to £14 billion investment to build the AI infrastructure in the UK and deliver 13,250 jobs. That’s in addition to a £25 billion investment in AI announced at the International Investment Summit.

New AI function within DSIT

For the public sector, a “new digital centre of government” will be established within the Department for Science, Innovation and Technology (DSIT). It will scan for new ideas, pilot them in public sector settings, then scale them as far as they can go, it said.

The Prime Minister has reportedly also personally written to his Cabinet, tasking them with driving AI adoption and growth in their sectors, and making that a top priority for their Departments. 

Elsewhere, a new team will be set up that will “use the heft of the state” to make the UK the best place for business. This could include guaranteeing firms access to data and energy.

“Artificial Intelligence will drive incredible change in our country,” said Starmer. “From teachers personalising lessons, to supporting small businesses with their record-keeping, to speeding up planning applications, it has the potential to transform the lives of working people.

“But the AI industry needs a government that is on their side, one that won’t sit back and let opportunities slip through its fingers. And in a world of fierce competition, we cannot stand by. We must move fast and take action to win the global race.

“Our plan will make Britain the world leader. It will give the industry the foundation it needs and will turbocharge the Plan for Change. That means more jobs and investment in the UK, more money in people’s pockets, and transformed public services.”

The UK’s AI action plan

Vantage Data Centres – which is working to build one of Europe’s largest datacentre campuses in Wales – plans to invest more than £12 billion in datacentres across the UK – creating over 11,500 jobs.

Kyndryl – the world’s largest IT infrastructure services provider – has announced plans to create up to 1,000 AI-related jobs in Liverpool over the next three years.

Additionally, UK AI company Nscale has announced a $2.5 billion investment to support the UK’s datacentre infrastructure over the next three years. It has also signed a contract to build the largest UK sovereign AI datacentre in Loughton, Essex by 2026.

The plan also includes:

• Forging new AI Growth Zones to speed up planning proposals and build more AI infrastructure. The first of these will be in Culham, Oxfordshire.
• Increasing the public compute capacity by twentyfold to provide the processing power to embrace AI. This starts immediately with work starting on a new supercomputer.
• A new team will be set up to “seize the opportunities of AI” and build the UK’s sovereign capabilities. 
• Creating a new National Data Library to unlock the value of public data and support AI development.
• A dedicated AI Energy Council chaired by the Science and Energy Secretaries will also be established, working with energy companies to understand the energy demands and challenges of AI. The Government said this will support its efforts to become a clean energy superpower by tapping into technologies like small modular reactors.