03 Jul 2025

Small but Mighty: How Nquiringminds is Driving AI Innovation in the Public Sector

Guest blog by Anita Allott, CMO at Nquiringminds #techUKdigitalPS

Anita Allott

Anita Allott

CMO, Nquiringminds

As techUK launches its annual Digital Transformation in the Public Sector Week, the spotlight rightly falls on the critical role of SMEs in powering public sector transformation. At NquiringMinds, a UK-based deep tech SME with a heritage in Trusted AI and secure data analytics, we believe the time has come to celebrate and expand the unique contribution of small, agile companies. We are not just participants in the AI revolution; we are catalysts for meaningful, scalable change.

Why AI, Why Now?

The UK government's AI Opportunities Action Plan and the Blueprint for Modern Digital Government mark an ambitious pivot toward smarter, more responsive public services. At their core is a vision to embed AI where it matters most: in real-world, everyday challenges facing our citizens and civil servants. From automating admin to enhancing strategic decision-making, AI has the potential to transform public sector service delivery. But potential alone isn’t enough—execution is everything.

The SME Edge: Agility, Expertise, and Focus

Large enterprises may offer scale, but SMEs like NquiringMinds deliver agility, deep expertise, and an unrelenting focus on innovation. Our team brings decades of hands-on AI experience—our CEO and CTO both hold AI PhDs and have applied AI across smart cities, healthcare, defence, agriculture, and fintech.

We’ve been at the coalface of public sector challenges. From helping Belfast City Council recover lost revenue using AI-powered rates analytics, to supporting economic resilience planning in local authorities, our work demonstrates the impact SMEs can deliver. We were one of just two SMEs featured in the government’s Industrial Strategy Challenge Fund White Paper, and we’ve received national recognition, including a Cabinet Office Open Data Champion award and the Deep Tech Company of the Year title at the TechWorks Awards.

Niche Innovation Meets Public Sector Need

Public sector transformation isn’t just about tech—it’s about solving the right problems in the right way. This is where SMEs excel. At NquiringMinds, we develop trusted AI systems tailored to the unique needs of government. We focus on secure data sharing, privacy-preserving analytics, and systems that meet the highest ethical and technical standards. Our AI solutions don’t just work in the lab—they deliver on the ground.

Our success stems from our ability to prototype quickly, adapt solutions for complex policy environments, and do so with budgetary awareness and transparency. These are the traits that the public sector needs in a partner—traits that SMEs naturally possess.

Breaking Down Barriers: What’s Holding SMEs Back?

Despite our successes, the system isn’t always set up to support SMEs. We see four key challenges that must be addressed to truly unlock SME-led innovation:

  1. Strategic Clarity & Procurement Access: While the AI Opportunities Action Plan sets the right tone, SMEs need clearer guidance on how we fit into government’s strategic vision. Procurement processes must be accessible and SME-friendly, not favour large primes by default. Innovation should never be substituted for convenience.
  2. Avoiding "Crowding Out": Government's internal digital capacity is growing—which is good. But internal capability should complement, not compete with, external innovators. When internal builds or large primes dominate projects, SMEs risk being marginalised. True transformation requires collaborative ecosystems.
  3. Protecting SME IP: SMEs invest heavily in R&D, and intellectual property is often their lifeblood. While openness and interoperability are critical, policies that mandate open sourcing of SME-developed tools risk undermining future innovation. A balanced approach that encourages reuse without compromising SME viability is essential.
  4. Smart Regulation, Not Red Tape: We support ethical AI and initiatives like the Algorithmic Transparency Recording Standard. But well-intentioned regulation can quickly become unmanageable for SMEs if it’s too rigid. Disclosure rules, for instance, must avoid exposing commercially sensitive IP. Pragmatic, proportionate governance will do more to encourage responsible innovation than burdensome oversight.

The Path Forward: Partnership, Not Just Procurement

The UK has an opportunity to lead the world in responsible, impactful public sector AI—but only if it leverages its full ecosystem, especially the SME community. NquiringMinds stands ready to partner on this journey. What we need now is:

  • Meaningful SME engagement in project scoping, not just delivery.
  • Simplified and SME-tailored procurement processes.
  • Incentives for collaboration between large primes, SMEs, and public sector bodies.
  • Recognition of IP value, enabling SMEs to sustain innovation.

AI in the public sector isn’t just about faster systems or cheaper processes. It’s about smarter governance, better outcomes for citizens, and long-term economic resilience. SMEs like NquiringMinds are already proving this every day.

Conclusion

At NquiringMinds, we believe small can be mighty. As a deep tech SME with a proven track record of solving complex public sector challenges, we are not just providers—we are partners in transformation. With the right support and vision, SMEs will continue to drive public sector innovation from the inside out. We look forward to sharing our voice during techUK’s Digital Transformation in the Public Sector Week and helping to shape a future where AI is trusted, inclusive, and impactful. #techUKDigitalPS


 

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