“Our particular strengths as a country lie in areas like life sciences, financial services, the defense sector, and the creative sector. And where we will really lead the world is where we can use the power of AI in those sectors,” Kendall told the Financial Times.
The plans came as part of a wider AI package designed to upgrade Britain’s tech infrastructure and convince entrepreneurs and investors that Labour is backing the sector ahead of next week’s Budget, which is expected to raise taxes on the wealthy.
The UK has sought to attract investment from US AI companies such as OpenAI and Anthropic.
The government has signed several “strategic partnerships” with American groups in a bid to attract foreign investment in UK AI infrastructure and talent, in exchange for adopting their technology in the public sector.
Sue Daley, of lobby group TechUK, said the plan showed “real ambition” but warned: “Advanced market commitments of this kind must be designed carefully to avoid unintentionally distorting competition.”
The government also announced that James Wise, a venture capitalist at Balderton, would chair the government’s 500 million pound sovereign AI unit, which has been set up to back AI startups alongside the British Business Bank.
Additional reporting by Ivan Levingston.
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