AI will deliver a decade of national renewal, as part of a new plan announced by the UK Prime Minister Keir Starmer.
The UK Government has unveiled a transformative plan to harness AI for national renewal, adopting all 50 recommendations from the AI Opportunities Action Plan.
AI is already enhancing healthcare by improving diagnoses and patient care, while new measures aim to revolutionise public services, including streamlining planning processes and reducing administrative burdens for teachers.
Backing AI is projected to boost productivity by up to 1.5% annually, potentially adding £47 billion to the UK economy each year. The plan introduces AI Growth Zones to fast-track planning and infrastructure, positioning the UK as a global leader in AI-driven innovation and economic growth.
It comes as three major tech companies – Vantage Data Centres, Nscale and Kyndryl – have committed to £14 billion investment in the UK to build the AI infrastructure the UK needs to harness the potential of this technology and deliver 13,250 jobs across the country.
Industry experts have responded to the announcement:
Ryan Cox, Head of AI at Synechron, said: “The potential of the UK government’s AI policy to drive innovation is clearly an exciting development. With the correct support, AI has the scope to supercharge the country’s economy, businesses and people. Prioritising Digital Transformation using AI will help speed positive societal changes.
“In our own work with AI, both with employees and clients, we’ve seen AI significantly streamline operations, which is a harbinger of what is to come for other companies, government departments, and institutions.
“For instance, our HR team has saved more than 350 hours per month, our software engineers have seen up to 60% of productivity gains and investment banking clients have experienced a 50% reduction in research time using our AI tools. This is only a small example of the productivity gains that the UK government can expect to see in the future.”
Steve Hare, CEO of Sage, said: “The UK Government’s ‘AI Action Plan’ represents an important step forward in boosting the country’s AI sector. While building better infrastructure and attracting top-tier talent is vital, success hinges on making AI accessible to all – especially the 99% of UK businesses that are SMBs.
“At Sage, we know 75% of SMBs are thinking about investing in AI this year. As Keir Starmer said, AI can transform their record keeping and planning. The potential is huge, but turning intent into action requires Government support through a comprehensive digital adoption and data strategy that fosters an innovation-friendly environment. When SMBs fully embrace AI, the benefits – productivity, innovation, growth – will ripple across the entire economy.”
Chintan Patel, Chief Technology Officer, Cisco UK & Ireland, said: “Cisco welcomes the recommendations laid out in ‘AI Opportunities Action Plan’ and is encouraged that the government has responded so positively to the proposals from Matt Clifford. Having a clearly defined roadmap is critical for the UK to achieve its ambition to become an AI superpower and a leading destination for AI investment.
“We are at an inflection point with AI; what we do now will shape the next decade and beyond. Advances in AI are changing how we live, work and engage with public services, but there are foundational aspects that we must address now – from the infrastructure these models are built on, to the security that is core in ensuring models work as intended and data remains secure, and the skills required in the workforce to truly benefit from this technology.
“The promise of AI is immense, but we are still in its infancy with our most recent AI Readiness Index revealing that only 10% of UK organisations are fully ready to capture AI’s potential.”
Zahra Bahrololoumi, CEO of Salesforce UK and Ireland, said: “Businesses in the UK are in a prime position to fully unlock the opportunities of AI, thanks to a strong innovation culture and risk-based laws. That is why Salesforce chose the UK as the location of its first-ever AI Centre, building on our commitment to invest US$4 billion in our UK operations to harness the transformational power of AI.
“In the coming year we will see more and more businesses embrace innovative solutions such as agentic AI to tackle everyday tasks, but they need investment and expert guidance to unleash long-term value and productivity gains.
“The AI Action Plan is a forward-thinking strategy to boost AI adoption and drive growth in the UK. We’re encouraged by the UK’s bold vision for AI and emphasis on transparency, safety and collaboration, which aligns with our commitment to build trusted AI solutions that empower organisations while safeguarding privacy and equity.”
Michael Adjei, Director, Systems Engineering at Illumio, said: “The government’s AI plan is a positive step, boosting job creation and improving public services. However, it will test the robustness of the government’s data privacy frameworks.
“Many governments, including the UK, have not covered themselves in glory when it comes to cyber and data security for various reasons. It will therefore be vital to establish clear guidelines for acceptable use and protection to safeguard citizens and AI systems.
“Researchers and innovators with access to NHS data will become prime targets for cyberattacks which in itself can have legal and ethical considerations. Cybercriminals will look to exploit the hidden layers of AI, which are often proprietary and insufficiently scrutinised. Vulnerabilities and coding flaws in these layers may remain undiscovered longer than in other AI layers, leaving third parties open to exploitation.
“Before any data is made available to researchers and innovators, it’s essential that their security standards and policies are thoroughly checked and approved. No data should be handed over if a third party does not have an AI security framework or fails to meet the required standards.”
