UK ministers warned over public-sector AI deals

UK ministers are facing warnings that public-sector AI adoption is prioritising Big Tech over transparency and public accountability. The UK public sector has awarded more than 2,000 contracts for AI-related projects since 2018, with potential spending totalling around £5bn, according to analysis by consultancy Tussell.

Rights groups and MPs say AI is already being used in decisions affecting policing, housing, Universal Credit and asylum claims. The Department for Work and Pensions has used machine learning to flag benefit claims as potentially fraudulent, but the National Audit Office found older claimants and non-UK nationals were being over referred for review. NHS England has also faced scrutiny over a £330m contract with US firm Palantir to connect patient data, while London mayor Sadiq Khan blocked a £50m Met Police deal with Palantir in June this year.

The Open Rights Group is calling for impact assessments before AI systems are deployed and regular expert audits of algorithms in use. A government spokesperson said ministers are supporting British capability through grants, investments and contracts, including a new £100 million Sovereign AI R&D Procurement Scheme, and said frameworks are in place to ensure AI is used safely with people retaining final decision-making control.