Government announces plan to 'turbocharge' artificial intelligence and drive economic growth
Posted: Mon 13th Jan 2025
The government has launched a new plan aimed at using artificial intelligence (AI) to grow the economy, help businesses scale, deliver public services more efficiently, and improve living standards.
The strategy is based on the 'AI Opportunities Action Plan' produced by entrepreneur Matt Clifford, with all his 50 recommendations accepted by the government.
The report cited Google research which said AI adoption could grow the UK economy by £400 billion by 2030 through enhancing innovation and productivity in the workplace.
Clifford recommended growing adoption across the whole of the UK by leveraging "local trusted intermediaries and trade bodies to support business leaders, and also consider opportunities to accelerate AI adoption by working across supply chains". He said a "particular focus should be put on supporting SMEs and the specific challenges they face".
Enterprise Nation founder Emma Jones is a member of the government's SME Digital Adoption Taskforce, which is focused on examining how SMEs can be supported to implement digital technology and AI to benefit productivity and business growth.
As part of Enterprise Nation's Tech Hub, a one-stop-shop solution that allows businesses to access digital tools, training, and support, our research found that more than half of the UK's small businesses are naturally exploring AI to run their business, but there's an emerging skills and confidence gap that the industry must address if founders are to truly benefit from adoption of the technology.
AI Opportunities Action Plan
Other parts of the plan include:
setting up new "AI growth zones" to speed up planning proposals and build more AI data centres. The first will be in Culham, Oxfordshire, where the UK Atomic Energy Authority is based.
setting up a new UK Sovereign AI unit "to keep the UK at the forefront of emerging technology" by investing in companies, including promising start-ups and joint ventures with other commercial partners.
creating a new "national data library to "safely and securely unlock the value of public data and support AI development".
partnerships between AI vendors and start-ups "to anticipate future AI developments and signal public sector demand".
increasing the public compute capacity by twentyfold, starting with building a new supercomputer.
publishing guidance, results, case-studies and open-source solutions through a single "AI Knowledge Hub".
a multi-stage and streamlined AI procurement process that enables easy and quick access to small-scale funding for pilots and only layers bureaucratic controls as the investment-size gets larger.
focusing on training in AI skills, including accurately assessing the size of the skills gap, expanding education pathways into AI, increasing the diversity of the talent pool and launching a flagship undergraduate and masters AI scholarship programme.
appointing "AI sector champions" in sectors such as life sciences, financial services and the creative industries to work with industry and government and develop AI adoption plans.
establishing a copyright-cleared British media asset training data set for AI, which can be licensed internationally at scale. A government consultation on how the government can ensure the UK's legal framework for AI and copyright supports the UK creative industries and AI sector together is open until 25 February.
The government said it is "throwing the full weight of Whitehall" behind AI, with prime minister Keir Starmer writing to all of his Cabinet and tasking them with "driving AI adoption and growth in their sectors, and making that a top priority for their departments".
Matt Clifford will continue to work with the government as the prime minister's adviser on AI opportunities.
Keir Starmer said:
"Artificial Intelligence will drive incredible change in our country. 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."
Peter Kyle, science, innovation, and technology secretary, added:
"AI has the potential to change all of our lives but for too long, we have been curious and often cautious bystanders to the change unfolding around us. With this plan, we become agents of that change.
"We already have remarkable strengths we can tap into when it comes to AI -- building our status as the cradle of computer science and intelligent machines and establishing ourselves as the third largest AI market in the world.
"This government is determined that the UK is not left behind in the global race for AI, that's why the actions we commit to will ensure that the benefits are spread throughout the UK so all citizens will reap the rewards of the bet we make today. This is how we're putting our plan for change in motion."
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