New figures show backing for British AI firms hit record levels last year.
A total of £2.9 billion in private support and average deals worth £5.9 million has set the stage for further investment and new opportunities for both AI companies and financial backers alike, says the Government.
British AI companies alone now contribute £11.8bn to the UK economy – double the amount in 2023 – while AI employment tops 86,000 across the country.
The figures also show at least double the number of AI companies are now based in the Midlands, Yorkshire, Wales and North West compared to just three years ago.
In a speech to city bosses and tech firms at Mansion House, the Technology Secretary called on industry to step up and match the UK government’s ambition when it comes to AI.
He pointed to the Government’s efforts to slash red tape, build infrastructure such as data centres and attract top talent – with a fresh push to work in partnership with industry to maintain the UK’s position as a world leader.
“We have learned the lesson of history: countries can only prosper if they get the big calls right, if they decide to go beyond the expected and embrace the future, to innovate not imitate – refusing to be constrained by the problems of today by taking up the challenges of tomorrow,” said Peter Kyle MP.
“In these uncertain times, I am certain that’s what it takes to get a global competitive edge. We want you to keep investing here, keep building here – list here, scale here. If you invest in Britain, you’ll share in that competitive edge.”
Kyle has set out new plans to expand the UK’s AI offering, bolstering its sovereign AI capabilities by delivering new opportunities for the sector.
A new AI assurance roadmap has been launched: AI assurance centres on ensuring independent experts can run the rule over AI systems – making sure they are trustworthy without leaving developers ‘to mark their own homework’.
The government will now press ahead with plans to establish a dedicated AI assurance profession – bringing together key stakeholders from across the tech sector who will help strengthen the quality of this new standalone industry. This will support developers to better navigate and understand the regulatory landscape, while also fostering public confidence and trust in the technology for users.
Its work will include the development of a professional code of ethics and detail the kind of access to models and systems that AI assurance professionals will need to carry out their work.
This will also give rise to a tailored skills and competencies framework that covers a range of areas from professional training and education to the establishment of a fully-fledged professional certification scheme.
Kicking off this work, a new AI Assurance Innovation Fund worth £11m will be launched – with applications due to open in the spring.
A further £2.7m will develop regulator capability in AI so that they are better able to streamline the regulatory environment and speed up the commercialisation of transformative technologies that will boost economic growth and improve the lives of the public.
Areas set to benefit from these plans include Ofgem being supported to develop an innovative AI tool to accelerate approvals for clean energy infrastructure, the Civil Aviation Authority using AI to analyse air accident reports and accelerate drone adoption, and the Office for Nuclear Regulation enabling the nuclear industry to use AI to safely and efficiently manage high risk nuclear waste.
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