Healey pledges budget investment in AI security

Chancellor John Healey has pledged to commit hundreds of millions of pounds in his debut budget to a “distinctively British” approach to AI, combining national security protections with support for economic growth. The plans include fresh funding for Britain’s AI Security Institute and other critical institutions, alongside investment intended to spread the technology’s benefits without leaving workers behind.

Proposed investments include AI chip design capability in Edinburgh and a new AI Centre of Excellence in Manchester. The government would also spend £10m a year to understand how AI will reshape jobs and industry. The Treasury said it would back up to £300m in public-private investment in a new AI Biosecurity Lab, bringing together scientific expertise to protect against emerging biological threats.

Healey wants to nurture domestic businesses and talent while reducing Britain’s dependence on other countries’ technology. The proposals come amid mounting concerns about cyber-attacks, unreliable IT systems and job displacement. Barclays is cutting 5,000 jobs under cost-saving plans as AI adoption helps improve efficiency. Healey has positioned the technology as central to Labour’s growth strategy while promising stronger safeguards against its disruptive potential.