UK Government Pushes AI and Digital Innovation to Streamline Public Services

Summary
On March 13, 2025, in a speech by the Prime Minister, the UK government announced its plans to accelerate its push for AI-driven efficiency across public services, unveiling new measures to replace some civil servant tasks with AI and revamping funding for digital innovation. Under the proposed new plans, AI will take over administrative work where it can meet the same standards as human officials. Prime Minister, Sir Kier Starmer highlighted the potential for £45 billion in savings and improved productivity.
In a parallel move, on March 10, 2025, the UK government also announced it is adopting a "test and learn" approach to AI and digital investment. Starting in April, four funding models will be trialled, including "staged funding" inspired by the GOV.UK generative AI chatbot, to streamline the way digital projects can seek funding. It is envisioned that such initiative will cut bureaucracy, fast-track promising projects, and ensure taxpayer value through rigorous evaluation.
These developments follow the launch of the UK government’s AI Opportunities Plan which was published in January this year. One of the core principles of the plan is to push hard on cross-economy AI adoption, including in public services.