London mayor pledges £18m for AI jobs plan

London mayor Sadiq Khan has announced £18m to help young Londoners into work, training or education as the capital prepares for the impact of AI on jobs. The funding follows recommendations from his AI and Jobs Taskforce, chaired by Baroness Martha Lane-Fox, which warned that London should actively shape the shift rather than wait for disruption.

The plan includes an early-warning system to identify AI-driven job changes, a partnership bringing employers, workers and educators together to redesign roles, and a scheme pairing young Londoners with employers. Of the funding, £10.5m will extend a programme for about 6,000 people not currently in education, employment or training.

A BusinessLDN survey of more than 2,000 business leaders found that half their existing workforce had the skills their business needed, down from 63% a year earlier. More than three-quarters expected a significant need for AI and advanced digital skills over the next five years, up from 66% in 2025. The taskforce also called for talks with government on giving London more control over skills policy.