Employment: Artificial Intelligence

Lord Khan of Burnley Excerpts

Monday 13th July 2026 Lords Chamber

Asked by

[Lord Khan of Burnley]

To ask His Majesty’s Government what assessment they have made of the impact of artificial intelligence on employment in the UK; and what support they plan to provide for affected workers.

[The Parliamentary Under-Secretary of State, Department for Science, Innovation and Technology (Baroness Lloyd of Effra) (Lab)]

We published an assessment of AI impacts on the labour market in January, and the new AI Economics Institute will broaden and deepen our analytical capability. We will upskill 10 million people through the AI skills boost and help people to develop digital skills through the £187 million TechFirst programme. Our £20 million Early Careers Jobs Alliance will bring together employers, unions and young people to redesign roles while maintaining progression in the digital and technology sector.

[Lord Khan of Burnley (Lab)]

I thank my noble friend the Minister for her response. The Open University’s latest Business Barometer report on the employer skills gap included a survey of 1,500 UK businesses and over 1,000 young people outside education, employment and training. Some 42% of young people agree that AI is threatening their job prospects, and 49% are wary of the future of AI and its impact on their future work. Do His Majesty’s Government agree that the best way to equip our people for the future is upskilling, as the Minister talked about, and investing in people? What assessment, strategy and planning are taking place to ensure that all regions are upskilled and no one is left behind?

[Baroness Lloyd of Effra (Lab)]

My noble friend is right about the potential of AI and that many people are uncertain about how it will develop in the future. The critical point that I think he and I agree on is that the best way of approaching this technological development is equipping people in all regions of the country—young people and those who need retraining—which is exactly the approach we are taking. With our AI skills boost, we will upskill 10 million people in work, and we have already reached 1.7 million. In that way, workers in this country will be able to make the most of this technological revolution.