UK must seize initiative on AI or be left at its mercy, Liz Kendall says

The UK government has been urged to take decisive action to shape the future of artificial intelligence (AI) rather than be left vulnerable to external forces, according to Labour’s technology secretary, Liz Kendall. She warned that AI development is increasingly dominated by a handful of large US tech companies, which currently control 70% of the world’s AI computing power. Kendall emphasized the need for the UK to assert greater control over AI technology to ensure it aligns with national interests and values, highlighting the launch of a state AI investment fund and plans to boost domestic chip design and manufacturing as key steps. Kendall’s remarks come amid growing concerns that the UK is falling behind in the AI race despite its strong academic base and homegrown firms like Google DeepMind. Challenges such as high energy costs and regulatory hurdles have hindered investment, with OpenAI recently pausing a major datacentre project in the UK. Critics, including former deputy prime minister Nick Clegg, have pointed to the UK’s lack of infrastructure comparable to the “steam engine” of the AI revolution. Reports have also questioned the reality of some AI-related investments and highlighted delays in critical projects like a planned supercomputer in Essex. The concentration of AI computing power in a few US companies—Amazon, Google, Meta, Microsoft, and Oracle—raises concerns about the UK’s dependence on foreign technology. Kendall stressed that while the UK must pursue AI sovereignty, this should not undermine its close relationship with the US, home to leading AI innovators such as OpenAI and Anthropic. She dismissed calls for a pause in AI development as detrimental to British talent and interests, framing the issue as a choice between actively shaping AI’s future or being passively shaped by it. The government’s approach signals a strategic effort to secure the UK’s position in the global AI landscape amid rapid technological change.