UK Technology Secretary Liz Kendall has called on the British public to back artificial intelligence, dismissing widespread anxieties over job losses and cybersecurity risks as the government announced its first investment under a newly established £500 million sovereign AI fund.
Kendall argued that Britain must "seize" the opportunities presented by AI technology, framing the government's position as one of proactive engagement rather than caution. The announcement marks the first deployment of capital from the sovereign fund, with a stake taken in a British AI startup, according to reporting by The Guardian.
The push comes at a sensitive moment for public confidence in the technology. Earlier this month, US-based AI company Anthropic revealed it had developed an AI model whose capabilities raised fresh questions about the pace of development in the sector and the risks that may accompany it. Kendall's comments appear designed in part to get ahead of those concerns and reassure a sceptical public.
A strategic bet on domestic AI
The sovereign AI fund, backed by £500 million in government capital, is intended to give the UK a direct financial stake in the growth of homegrown artificial intelligence companies. By investing in British startups rather than relying solely on overseas technology providers, the government aims to retain economic benefits and bolster national capabilities in a field increasingly seen as strategically critical.
Kendall's framing - that AI must be made to "work for Britain" - reflects a broader government ambition to position the UK as a leading AI nation while ensuring domestic workers and institutions are not left behind by the transition.
Concerns remain
Despite the government's optimistic tone, anxieties over AI's impact on employment persist across multiple sectors. Automation driven by increasingly capable AI systems has prompted warnings from trade unions and economists about potential disruption to white-collar and knowledge-based jobs, not only those in manufacturing or logistics.
Cybersecurity experts have also raised alarms about the risks posed by advanced AI tools, including their potential use in generating sophisticated phishing attacks, disinformation campaigns, and other malicious activity.
Kendall did not elaborate in detail on how the government plans to address those concerns, though officials have previously pointed to regulatory frameworks and skills investment programs as part of a broader national AI strategy.
The government's willingness to make direct equity investments in AI companies signals a shift toward a more interventionist industrial policy, mirroring moves seen in the United States, China, and several European nations as competition for AI leadership intensifies globally.
