British AI companies received a total of £2.9 billion in private investment last year, with the average deal worth £5.9 million, according to new figures from the UK government.
British AI companies alone now contribute £11.8 billion to the UK economy, which the government said is double the amount in 2023 and a new record.
Around 86,000 people are employed in AI related roles 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 3 years ago.
To capitalise on this momentum, technology secretary Peter Kyle has set out new plans to expand the UK’s AI offering by launching a new AI assurance roadmap and earmarking £11 million for a new AI Assurance Innovation Fund.
In a speech to city bosses and tech firms earlier this week, Kyle called on the industry to match the UK government’s AI ambitions.
The government said the fund will support the development of new AI assurance tools and ensure theat the UK is ready to respond to developments in AI technology.
Under the plans, AI assurance centres will ensure independent experts can run the rule over AI systems and make sure they are making sure AI systems are trustworthy
The government added it plans to establish a dedicated AI assurance profession which will bring together key stakeholders from across the tech sector to help strengthen the industry.
It claims this will support developers to better navigate and understand the regulatory landscape, which will also improve public confidence and trust in the technology.
The government said 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.
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.
“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,” Kyle said. “In these uncertain times, I am certain that’s what it takes to get a global competitive edge.”
