techUK Response to the Lords Communications and Digital Committee Report, ‘AI, Copyright and the Creative Industries’
Whilst we are not in agreement with the recommendations advanced by the Committee in today’s report, techUK remains keen to work constructively with Government and the creative industries to develop a copyright framework that ensures the UK can effectively compete when it comes to AI moving forward. More clarity around how to incentivise text and data mining (TDM) would help ensure that the UK can better provide business clarity and attract investment for AI development, deployment, and fine-tuning.
The report discourages the Government from introducing a new TDM exception with an opt-out mechanism, advocates for statutory transparency requirements for on AI training data, and urges the Government to act against unauthorised digital replicas “in the style of” of creators’ work.
What is a TDM exception?
Text and data mining is a powerful tool that can be used to analyse large amounts of information to turn it into useful insights. It does not necessarily need to involve AI.
As its name suggests, a TDM exception would introduce an exception to copyright law that would allow copyrighted works to be used for commercial TDM purposes, for example data analysis for training AI. At present, in the UK, this is only permitted for the training of non-commercial research purposes, or where what is used is accompanied by a sufficient acknowledgement. This limits the scope of data available to train AI.
In the Government’s consultation on AI copyright, which was launched in December 2024, the aim was to clarify the application of copyright law to AI model training to prevent ongoing uncertainty, which is stalling innovation. The Government put forward four proposals to frame this conversation: Option 0, no legal change, maintain the current provisions; Option 1, reform the current protection to clarify its scope; Option 2, remove specific protection for computer-generated works; and, Option 3, a data mining exception which allows rights holders to reserve their rights, underpinned by supporting measures on transparency, i.e. an opt out.
More information on our response to this consultation can be accessed via this link.
Taken together these recommendations would significantly restrict the ability to train and fine tune AI model in the UK. This sits uneasily alongside the Committee’s suggestion in the UK, lay alongside a suggestion that the UK should prioritise the development and adoption of sovereign AI models. In practice, building that sovereign AI capability could easily struggle to access the data that makes that level of training and fine tuning possible without copyright clarity.
At the same time, the UK risks drifting further behind other major AI economies. Countries including the United States, Japan, Singapore and the European Union have already moved faster to provide legal clarity around text and data mining, creating more predictable environments for AI development and investment. Meanwhile the UK has remained in limbo while decisions on how copyright reform could help the UK be an AI maker have been delayed.
techUK strongly believes that the growth and development of the UK’s AI industry is reliant on a stable copyright regime that allows access to training data through a TDM exception.
We do agree with the Committee’s view that the emerging market for licensing content for AI use should be allowed to continue to develop, rather than relying on a single marketplace initiative.
techUK View
The UK now faces a clear strategic choice about the role it wants to play in the global AI economy. A copyright regime that is significantly more restrictive than those in other major AI economies will only further cement that AI development is more likely to happen elsewhere.
Despite the Committee’s hesitancy to consider international examples, techUK Deputy CEO, Antony Walker, raised the need to understand the UK’s copyright position in a global context in his oral evidence.
International context matters and the UK currently risks losing its position as a world leader in both technology and the creative economy. The UK is currently falling behind countries like the US, Japan, Singapore, and others who have clearer copyright frameworks that attract AI training and finetuning. These frameworks recognise a simple reality – AI development is global and companies are more likely to build and train AI solutions where there are clearer, more predictable rules.
Moreover, the Government risks jeopardising current and future data infrastructure investment in the UK. Our members have warned that without reform, the UK also risks becoming primarily a deployment market for models trained elsewhere rather than a place where AI is built. The economic implications are significant. Training activity drives sustained demand for compute and data infrastructure. If training takes place overseas, the UK risks suppressing domestic demand for frontier compute and structurally limiting the growth of its AI infrastructure ecosystem.
The UK should be aiming to create an environment where both the creative industries and AI developers can succeed. Restricting AI training in the UK will not prevent AI systems being trained on globally available data. It will simply ensure that the jobs, investment and economic benefits associated with that development take place elsewhere.
A clear, workable framework anchored around a TDM exception would keep AI development in the UK while allowing the market for licensing and creator compensation to evolve.
The question facing policymakers is therefore not whether AI development will continue. It is whether the UK chooses to be an AI maker or an AI taker.
techUK’s Deputy CEO, Antony Walker, responded to the report saying:
The UK needs a way forward on AI copyright that works for the whole of the UK economy. But to do that we have to recognise that the US, Japan, Singapore and even the EU have much more enabling environments for AI development and deployment. The Committee was explicit that it didn't want to hear about international approaches when we gave evidence, and that central flaw is apparent in the conclusions.
This report is based on the misconception that the UK’s copyright regime can exist in splendid isolation from the rest of the world. In fact, these recommendations are a recipe for ensuring that the UK is an AI taker rather than an AI maker. The most likely scenario based on these recommendations is that AI models continue to be largely trained in the US and that the ultimate legal framework of AI copyright is determined by the US courts.
We believe we need a better approach that works for both the UK’s creative and technology sectors if we want the UK to play a leading role in defining the global AI future.
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Antony Walker is deputy CEO of techUK, which he played a lead role in launching in November 2013.
Antony is a member of the senior leadership team and has overall responsibility for techUK’s policy work. Prior to his appointment in July 2012 Antony was chief executive of the Broadband Stakeholder Group (BSG), the UK’s independent advisory group on broadband policy. Antony was closely involved in the development of broadband policy development in the UK since the BSG was established in 2001 and authored several major reports to government. He also led the development of the UK’s world leading Open Internet Code of Practice that addresses the issue of net neutrality in the UK. Prior to setting up the BSG, Antony spent six years working in Brussels for the American Chamber of Commerce following and writing about telecoms issues and as a consultant working on EU social affairs and environmental issues. Antony is a graduate of Aberdeen University and KU Leuven and is also a Policy Fellow Alumni of the Centre for Science and Policy at Cambridge University.
Nimmi Patel is the Associate Director of Policy at techUK. She works on all things skills, education, and future of work policy, focusing on upskilling and retraining. Nimmi is also an Advisory Board member of the Digital Futures at Work Research Centre (digit). The Centre’s research aims to increase understanding of how digital technologies are changing work and the implications for employers, workers, job seekers, and governments.
Prior to joining the techUK team, she worked for the UK Labour Party and New Zealand Labour Party, and holds an MA in Strategic Communications at King’s College London and BA in Politics, Philosophy and Economics from the University of Manchester. She also took part in the 2024-25 University of Bath Institute for Policy Research Policy Fellowship Programme and is the Education and Skills Policy Co-lead for Labour in Communications.
As Head of Public Affairs, Alice supports techUK’s strategic engagement with Westminster, Whitehall and beyond. She regularly works to engage with ministers, members of the UK’s parliaments and senior civil servants on techUK’s work advocating for the role of technology in the UK’s economy as well as wider society.
Alice joined techUK in 2022. She has experience working at both a political monitoring company, leading on the tech, media and telecoms portfolio there, and also as an account manager in a Westminster-based public affairs agency. She has a degree from the University of Sheffield in Politics and Philosophy.
Edward leads the Digital Economy programme at techUK, which includes our work on online safety, fraud, and regulation for growth initiatives.
He has prior experience working for the Department for Digital, Culture, Media and Sport and has previously worked for a number of public affairs consultancies specialising in research and strategy, working with leading clients in the technology and financial services sectors.
Samiah Anderson is the Head of Digital Regulation at techUK.
With over seven years of Government Affairs expertise, Samiah has built a solid reputation as a tech policy specialist, engaging regularly with UK Government Ministers, senior civil servants and UK Parliamentarians.
Before joining techUK, Samiah led several public affairs functions for international tech firms and coalitions at Burson Global (formerly Hill & Knowlton), delivering CEO-level strategic counsel on political, legislative, and regulatory issues in the UK, EU, US, China, India, and Japan. She is adept at mobilising multinational companies and industry associations, focusing on cross-cutting digital regulatory issues such as competition, artificial intelligence, and more.
She holds a BA (Hons) in Politics, Philosophy, and Economics from the University of London, where she founded the New School Economics Society, the Goldsmiths University chapter of Rethinking Economics.
Jake has been the Policy Manager for Skills and Future of Work since May 2022, supporting techUK's work to empower the UK to skill, attract and retain the brightest global talent, and prepare for the digital transformations of the future workplace.
Previously, Jake was the Programme Assistant for Policy. He joined techUK in March 2019 and has also worked across the EU Exit, International Trade, and Cloud, Data Analytics and AI programmes.
He also holds an MA in International Relations from the University of Sussex, as well as a BA(Hons) in International Politics from Aberystwyth University. During his time at Aberystwyth University, he won the International Politics Dissertation Prize.
Archie Breare joined techUK in September 2022 as the Telecoms Programme intern, and moved into the Policy and Public Affairs team in February 2023.
Before starting at techUK, Archie was a student at the University of Cambridge, completing an undergraduate degree in History and a master's degree in Modern British History.
In his spare time, he likes to read, discuss current affairs, and to try and persuade himself to cycle more.
Dani joined techUK in February 2025 as a Policy Manager in the Digital Regulation team.
Prior to this, Dani worked in political monitoring where she was a consultant for Digital, Culture, Media and Sport. In this role, she developed a strong understanding of parliamentary procedure, closely following all of the major developments in the tech centre and working with several key stakeholders and regulators.
She has an undergraduate degree in History from the University of Bristol and an MPhil in Modern European History from the University of Cambridge.
Outside of tech, Dani has a strong interest in addiction policy, particularly towards drugs, having written her dissertation on the topic as well as several subsequent research projects. In her spare time, she enjoys cooking and following all things motoring, whether that be F1, MotoGP or Formula E.
Oliver is a Junior Policy Manager at techUK, working across Public Affairs and Digital Regulation policy. He supports the organisation’s engagement with government and parliament, contributes to shaping techUK’s regulatory agenda, and plays a key role in coordinating political outreach, policy projects, and flagship events.
He joined techUK in November 2023 as a Team Assistant to the Policy and Public Affairs team, before stepping into his current role. He has been closely involved in efforts to ensure the tech sector’s voice is heard in the policymaking process.
Oliver holds a Master’s in Policy Research from the University of Bristol and a BSc in Policy from Swansea University. During his studies, he contributed to mental health research as a Student Research Assistant for the SMaRteN network.
Outside of work, Oliver is a keen debater and remains active in the UK debating community, having previously led the Swansea University Debating Union. He enjoys exploring complex issues from multiple perspectives and values clear, thoughtful communication in policy discussions.
Tess joined techUK as an Policy and Public Affairs Team Assistant in November of 2024. In this role, she supports areas such as administration, member communications and media content.
Before joining the Team, she gained experience working as an Intern in both campaign support for MPs and Councilors during the 2024 Local and General Election, and working for the Casimir Pulaski Foundation on defence and international secuirty. She has worked for multiple charities, on issues such as the climate crisis, educational inequality and Violence Against Women and Girls (VAWG). In 2023, Tess obtained her Bachelors of Arts in Politics and International Relations from the University of Nottingham.
techUK is keeping track of the 2026 updates to the AI Opportunities Action Plan. A full summary of all the announcements this month is forthcoming.Today, the government has announced a £36 million investment to upgrade the DAWN supercomputer at the University of Cambridge, aimed at increasing its computing power sixfold and significantly expanding access to high-performance AI compute in the UK.
The UK has a world-leading regulatory system that supports the economy while protecting the society. However, strategic reforms to the UK’s regulatory regime could help unlock its full potential as a vital catalyst for growth, bringing considerable rewards across industry.
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