Capitalising on public sector AI enthusiasm requires deeper private sector partnership

Whilst we await progress on legislation designed to create a regulatory foundation for those working to develop the most powerful AI models, the rhetorical position from the Government has consistently positioned the technology as essential for the country’s economic and social success.

Closer to home for the civil service, the Government Digital Service (GDS) has been notably proactive about sparking change, not only publishing a cross-service Artificial Intelligence Playbook for the UK Government earlier this year, but also launching a bespoke package of AI tools nicknamed “Humphrey” designed to automate fundamental government workflows. Another initiative, ‘Extract’, developed by the Incubator for Artificial Intelligence (iAI), seeks to streamline the complex planning approvals process, speeding up retrieval and analysis of information.

We know that these are not simply on-paper strategic intentions but signify a real change taking place. We understand that around 40% of departments have already formally adopted AI tools, while another 45% have plans in place to introduce AI within the next 18 months.

This data, collected prior to the announcements of Humphrey and Extract – suggests that the changes we’re seeing are likely being sparked within teams and departments as well as by the GDS, demonstrating building momentum from both the ground-up as well as top-down.

Managing economic change effectively

This is great news from a change management perspective. At Kyndryl, we are specialist partners on technology transformation with public and private sector organisations alike, and we see every day how progress is not just a matter of new tools, but a dynamic process of both technology and psychology where willingness and engagement are indispensable factors for overall success.

A research survey we recently undertook into people’s AI Readiness assessed what this dynamic currently looks like in the private sector. While 93% of UK respondents confirmed that they have invested in AI, 71% said that their workforce isn’t ready to successfully use it. A variety of reasons were identified for this, with the most common being a simple lack of skills.

In other words, outside of a 22% minority, businesses are not self-reporting that they have the overlap of intention and readiness that evolving an organisation into a new technological footing demands.

We see this as one indicator of the work needed to realise the nation’s AI ambitions. As fast as the technology is improving, we need to be pursuing a roadmap to be ready for it which covers many kinds of change. It’s equally about modernising existing IT infrastructure and implementing new tools, attracting the right high-level talent and spurring education and skills development at the entry level, and creating the right context for both internal investment and sharing insights right across the economy.

Ambitious AI initiatives at every level

This brings us back to the UK’s national approach to AI and investment. Peter Kyle, the Secretary of State for Science, Innovation and Technology, said in the forward to the Government’s AI Opportunities Action Plan that the first priority is to ensure that ‘AI drives the economic growth on which the prosperity of our people and the performance of our public services depend’.

The combined phrasing around the economy and services here is correct: private prosperity drives successful public services, and vice versa. As internal answers to discrete needs such as Humphrey and Extract start to permeate the public sector, it must also take an open view to the world around it, building mutual flows of value and knowledge with the economy it supports.

At Kyndryl, we recently launched an example of what that can look like in practice. The new Kyndryl AI Innovation Lab Liverpool, doesn’t just bring cutting edge economic activity to an iconic landmark; it sets out to foster innovation in a way that is truly embedded in the city region, offering high-quality jobs, apprenticeships, and training opportunities to local people.

The UK Government is being smart and ambitious about how it applies AI to itself – and that justifies a real sense of optimism. But the ambition can’t be insulated from the wider economy: the bigger prize will come from a truly mutual approach between government initiatives and a purposeful, public-minded private sector.

Central Government Programme activities

The techUK Central Government Programme provides a forum for government to engage with tech suppliers. We advocate for the govtech sector, evangelise tech as a solution to public sector challenges, facilitate market engagement, and help make the public sector an easier market to operate in. Visit the programme page here.