UK set to unleash AI for national renewal as PM Starmer promises jobs and growth

Britain’s Prime Minister Keir Starmer is expected to announce that artificial intelligence (AI) will be “unleashed across the UK to deliver a decade of national renewal,” with plans set to be unveiled on Monday (Jan. 13).

The prime minister has promised a boost in investment, jobs, and economic growth, all driven by a booming AI sector. This comes as the government faces criticism over claims of mismanaging the economy and slowing growth with last autumn’s budget.

According to the government’s announcement, if AI is “fully embraced,” it could add a massive £47 billion ($57 billion) to the economy every year. They also state that £14 billion ($17 billion) is expected to come from private sector investment, creating around 13,000 new jobs. It is said that 10,000 of those jobs would construction roles as new data centers will be required to power the new technology.

To make this happen, the government plans to adopt all 50 recommendations from Matt Clifford’s review last year. In July 2024, Clifford announced he would lead a review of AI opportunities for the new Labour Government.

One key initiative is setting up new AI “growth zones,” with the first one slated for Culham, Oxfordshire—home to the UK’s Atomic Energy Authority. The zones will benefit from quicker planning decisions and boosted power infrastructure to help them thrive.

On top of this, the government is aiming to ramp up the UK’s computing power by 20 times by 2030, which includes building a brand-new supercomputer.

Last April, ReadWrite reported that the UK and the US signed a landmark AI safety agreement in a bid to ensure that principles of AI safety are embedded as the technology grows. It remains to be seen whether this stance will change with new leaders in both nations.

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.”

Ahead of the official announcement, Starmer also wrote on X: “It’s important to me that this Labour government improves your life and your community in ways you actually notice. Al has enormous potential to do that.”

It's important to me that this Labour goverment improves your life and your community in ways you actually notice.

Al has enormous potential to do that.

While the Tories stifled growth and innovation, my government will use Al to turbocharge our Plan for Change.

— Keir Starmer (@Keir_Starmer) January 13, 2025

UK tech secretary, Peter Kyle, added: ”Government is determined that the UK isn’t left behind in the global race for AI.

“The AI Opportunities Action Plan we commit to today will ensure the benefits are spread throughout the UK so all citizens reap the rewards.”

Government is determined that the UK isn't left behind in the global race for AI.

The AI Opportunities Action Plan we commit to today will ensure the benefits are spread throughout the UK so all citizens reap the rewards.

This is how we’re putting our Plan for Change in motion. https://t.co/M5dQ49Ukju

— Peter Kyle (@peterkyle) January 13, 2025

Microsoft UK CEO Darren Hardman welcomed the move, saying the “scale of this government’s ambition for AI development and adoption in the UK is exactly what’s needed to drive economic growth.”

Featured image: Canva / Grok AI

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