THE GOVERNMENT has unveiled a major package of new reforms and investment that will put AI and tech at the heart of its mission to drive growth, create jobs and spread prosperity across the country, with South Wales a key focus.
AI experts said “keeping data on British soil is a massive win for GDPR and tech sovereignty” and “a big step for growth and jobs”.
Ahead of the Budget next week, these plans, the government claims, will boost jobs and growth – giving British businesses the opportunity to scale and compete internationally as part of its Modern Industrial Strategy.
It says international companies are also hosting new centres in the UK and British companies are increasing investment – with £24.25 billion in private investment committed in this last month alone.
Companies like Vantage Data Centers and Microsoft are also joining forces with the government to deliver another AI Growth Zone.
Set in South Wales, £10 billion of investment will unlock at least 5,000 jobs, including in industrial heartlands like the former Ford Bridgend Engine Plant.
AI Growth Zones will help transform local economies and ensure no community is left behind, with £5 million of government funding for each Growth Zone to boost business adoption and invest in the skills of local workers.
To ensure British businesses and researchers stay at the forefront of AI, new plans will back firms and scientists with the right tools to succeed and to seize the opportunity for British workers and growth.
Secretary of State for Science, Innovation, and Technology, Liz Kendall, said: “We are ambitious for our country and believe Britain’s best days lie ahead. Today we’re announcing a package of measures that ensure we seize the opportunities to get jobs and growth in every part of the country.
“The backing by international investors today is a vote of confidence in the UK – and we’re determined to do even more to ensure we are backing British businesses, workers and researchers to benefit from the opportunities AI brings. This is about bringing jobs, opportunities and hope to the people and places that need it most, delivering on our promise of change.”
Secretary of State for Wales, Jo Stevens, added: “Wales will now have 2 brand-new AI Growth Zones bringing thousands of jobs to both North and South Wales and driving economic growth across the country.
“South Wales is already the home of a growing tech industry and this major investment in the region will help cement the UK’s place as a global leader in AI.”
Colette Mason, AI Consultant at London-based Clever Clogs AI, welcomed the announcement: “Keeping data on British soil is a massive win for GDPR and tech sovereignty. It ends the leasing of our national intelligence from California. The creation of thousands of new jobs is a lifeline.”
Mashood Ahmad, Founder at Gigabit IQ, said that the tech investment was a big step forward but that we need to build an infrastructure that goes beyond just investment: “The Government’s AI announcement is a big step for growth and jobs, but national renewal won’t come from investment alone. It will come from preparing our people — especially our children.
“AI is already shaping how young people learn, communicate and face risks online. Countries like the UAE are teaching AI literacy and ethics from age four. The UK must do the same. You can’t build an AI-powered future if you don’t equip the generation who will inherit it.”
Richard O’Connor, Director at Birmingham-based First Mats, said his role is to bring AI into his business and use it to boost productivity and growth and believes this is the right move: “Whether we like it or not, AI is here to stay, and the important thing is using it well. We adopted AI early and, rather than replacing people, the growth it helped create actually led to us hiring more.
“So I think the UK putting real focus and investment into AI is a good move that will help businesses stay competitive and support the economy overall. But while AI will open up new opportunities, some jobs will inevitably be replaced.
“I’d really like to see what the Government plans to do for the people most at risk. Support, retraining and clear long-term thinking will be essential if AI is really going to deliver growth for everyone.”
The announcement follows a bumper week for AI tech, with poster child NVIDIA posting record earnings.
Photo by Immo Wegmann on Unsplash
