Question to the Department for Education:

To ask His Majesty's Government what steps they are taking to (1) support access to computing and AI education for schoolchildren, and (2) address disparities in digital literacy across England.

Answered by Baroness Smith of Malvern - Minister of State (Department for Work and Pensions)

The government has accepted the relevant recommendations of the independent Curriculum and Assessment Review to ensure that young people become more digitally literate through a refreshed computing curriculum, including essential AI content, that builds digital confidence from an early age. We are considering how digital content can be integrated across other subjects to build strong, transferrable digital skills, and will replace the computer science GCSE with a broader qualification reflecting the full computing curriculum.

Work is underway to develop the new curriculum, and the department will conduct a public consultation on the draft programmes of study in summer 2026. To increase the number of pupils who will benefit from the reformed national curriculum, we are legislating so that academies will be required to teach it, alongside maintained schools.

We are continuing to invest in the National Centre for Computing Education to support teachers to teach about these topics with confidence.

Question to the HM Treasury:

To ask His Majesty's Government what assessment they have made of the impact of fintech investment platforms on competition, costs and investment choice in the self-invested personal pension market; and what steps they are taking to support innovation in digital pension products while maintaining appropriate regulatory safeguards.

Answered by Lord Livermore - Financial Secretary (HM Treasury)

The Government has not made a formal assessment of the impact of Fintech investment platforms on competition, costs and investment choice in the self-invested personal pensions (SIPPs) market.

The Financial Conduct Authority (FCA) is the regulator responsible for the SIPPs market. The FCA regularly reviews their relevant rules and regulations to ensure they are appropriate for the current market context. This includes supporting growth and innovation while maintaining appropriate regulatory safeguards to protect consumers.

As set out in the Government’s Financial Services Growth and Competitiveness Strategy, the UK aims to be the world’s most technologically advanced global financial centre, and to remain a leading jurisdiction for Fintech firms to start up, scale and list.

Question to the HM Treasury:

To ask His Majesty's Government what assessment they have made of the impact and role of accelerator and innovation programmes that support the growth of early-stage financial technology firms.

Answered by Lord Livermore - Financial Secretary (HM Treasury)

As set out in the Government’s Financial Services Growth and Competitiveness Strategy, the UK aims to be the world’s most technologically advanced global financial centre, and to remain a leading jurisdiction for Fintech firms to start up, scale and list.

The Strategy set out a comprehensive package of reforms to maintain the UK’s global leadership in Fintech. This includes creating a competitive regulatory environment by making it quicker and easier for new firms to achieve regulatory authorisation, as well as welcoming the City of London Corporation and the British Business Bank facilitating greater access to finance. The Financial Conduct Authority and Prudential Regulation Authority have launched a joint Scale-Up Unit to enhance engagement with fast-growing innovative firms.

Research England is also supporting activity in FinTech through the INFINITY programme, a partnership led by the University of Nottingham and the University of Birmingham to help researchers explore commercial opportunities in financial technology. There has been good engagement so far, with over 100 research projects developing their business potential and a number of ventures now progressing towards market.

Question to the HM Treasury:

To ask His Majesty's Government what assessment they have made of the risks associated with the expansion of buy-now-pay-later lending through digital wallets and online marketplaces; and how the new regulatory framework will ensure effective affordability checks and consumer protection.

Answered by Lord Livermore - Financial Secretary (HM Treasury)

The Government is aware that Buy‑Now, Pay‑Later (BNPL) products have become a standard feature of digital wallets and online marketplaces, allowing consumers to defer payment at the point of sale. While these products can be a convenient way to help spread the cost of purchases, the lack of regulation has left some consumers exposed to harm, particularly through unaffordable borrowing.

To address this, in July 2025 Parliament passed legislation to bring BNPL products within Financial Conduct Authority (FCA) regulation. The new rules will take effect this July, with the FCA having confirmed the final regulatory requirements in February.

Under the new regulatory regime, BNPL firms will be required to carry out proportionate but robust affordability assessments before lending, informed by appropriate checks on consumers’ financial circumstances and existing borrowing commitments. Firms will also be required to provide clear, timely and prominent information on repayment terms, the consequences of missed payments, and what rights consumers have, enabling them to make informed decisions. In addition, consumers will gain access to established protections for credit users, including the Financial Ombudsman Service and section 75 rights under the Consumer Credit Act. Together, these measures will support the continued use of BNPL products while ensuring appropriate consumer safeguards are in place.

Question to the HM Treasury:

To ask His Majesty's Government what assessment they have made of the impact of Revolt being granted a banking licence on regulation and competitiveness in the fintech sector.

Answered by Lord Livermore - Financial Secretary (HM Treasury)

Bank authorisations are a matter for the independent Prudential Regulation Authority.

As set out in the Government’s Financial Services Growth and Competitiveness Strategy, the UK aims to be the world’s most technologically advanced global financial centre, and to remain a leading jurisdiction for Fintech firms to start up, scale and list.

The Strategy set out a comprehensive package of reforms to maintain the UK’s global leadership in Fintech. This includes creating a competitive regulatory environment by working with UK regulators to make it quicker and easier for new firms to achieve regulatory authorisation.

Question to the Department for Science, Innovation & Technology:

To ask His Majesty's Government what assessment they have made of the potential role of large language models in supporting Government departments to respond to enquiries from members of the public.

Answered by Baroness Lloyd of Effra - Baroness in Waiting (HM Household) (Whip)

His Majesty’s Government continues to take a careful and evidence led approach to exploring the potential role of large language models in supporting departments to respond to enquiries from members of the public.

I refer the noble Lord to the answer I gave to question HL15270 on 18 March 2026.

Question to the Department for Transport:

To ask His Majesty's Government what assessment they have made of the integration of voice-activated AI systems in consumer vehicles; and what steps they are taking to ensure that regulatory frameworks relating to safety, data protection and consumer protection are effective.

Answered by Lord Hendy of Richmond Hill - Minister of State (Department for Transport)

The Department has not made a specific assessment of integration of voice-activated Artificial Intelligence (AI) systems in consumer vehicles. Applicable legislation concerning safety, data protection and consumer protection still applies irrespective of the use of AI. The Department recently bolstered this by mandating internationally recognised requirements for vehicle cyber security that it helped develop. It also continues to work internationally to understand the risks from AI in automotive applications and how they could be managed or mitigated.

Question to the Department for Science, Innovation & Technology:

To ask His Majesty's Government what assessment they have made of the extent to which public procurement frameworks allow (1) the NHS and, (2) the Ministry of Defence, to support the development and adoption of AI technologies produced by UK-based companies.

Answered by Baroness Lloyd of Effra - Baroness in Waiting (HM Household) (Whip)

The Department for Science, Innovation and Technology has not made a formal assessment to date of the extent to which public procurement frameworks allow the NHS or the Ministry of Defence to support the development and adoption of UK produced AI.

However, the Government is actively looking at this through a cross government ministerial working group bringing together DSIT, the Department of Health and Social Care and the Ministry of Defence, which is exploring how government works with innovative UK companies, including in the AI sector. Alongside this, the Government’s wider approach is to use public procurement to make the public sector a first customer for innovative technologies and a launchpad for scale ups, supported by Cabinet Office led social value reforms and work through the Commercial Innovation Hub.

Question to the Department of Health and Social Care:

To ask His Majesty's Government what assessment they have made of the role of digital technologies in supporting treatment and recovery services for people experiencing drug and alcohol addiction.

Answered by Baroness Merron - Parliamentary Under-Secretary (Department of Health and Social Care)

The Government is continuing to invest in improvements to local alcohol and drug treatment services to ensure those in need can access high quality help and support. From 2026, all drug and alcohol treatment and recovery funding will be channelled through the Public Health Grant, with over £13.45 billion allocated across three years, including £3.4 billion ringfenced for drug and alcohol treatment and recovery.

Local authorities are responsible for assessing local needs for alcohol and drug prevention and treatment in their area, and commissioning services to meet these needs. The Government works with local treatment systems to provide a number of digital products including guidance, subject-matter expertise and data tools to help them deliver their service.

Digital products are derived from The National Drug Treatment Monitoring System and other related health datasets and made available via a dedicated website to enable local treatment systems to monitor treatment access and better manage outcomes.

Question to the Department for Science, Innovation & Technology:

To ask His Majesty's Government what steps they are taking to support UK researchers in the use of artificial intelligence, including measures to promote oversight and reproducibility.

Answered by Lord Vallance of Balham - Minister of State (Department for Energy Security and Net Zero)

We are working with UKRI, universities, and other partners to ensure the safe and responsible adoption of AI tools while protecting research integrity.

Our AI for Science Strategy recognises that the integration of AI into research holds potential to be the single most impactful application of the technology, setting out 15 actions that will support UK researchers. That will include the provision of compute through the AI Research Resource; delivery of training and upskilling in AI methods; the creation, curation, and scaling of AI-ready datasets; developing access models for AI tools; developing autonomous lab infrastructure, and supporting research into the impacts of AI on the scientific process.

Additionally, the National Data Library will support the foundations for AI-enabled research by improving access to high-quality public sector data, alongside recently published guidance to help public bodies make datasets AI-ready.

Question to the Department for Science, Innovation & Technology:

To ask His Majesty's Government what assessment they have made of the impact of AI tools on the UK’s outsourcing and contact-centre sector, including the use of AI-driven customer-service systems; and what implications this may have for employment patterns and skills demand in the sector.

Answered by Baroness Lloyd of Effra - Baroness in Waiting (HM Household) (Whip)

The Government recognises that AI is transforming workplaces, demanding new skills and augmenting existing roles. We have launched the AI and the Future of Work Unit - a cross‑government function dedicated to ensuring AI delivers positive outcomes for the economy, jobs, and workers. We are preparing for a range of possible futures to ensure this transformation boosts productivity and opportunities and the Government launched an assessment of AI impacts on the labour markets in January 2026.

To build a digitally skilled workforce to support long-term economic growth, drive innovation and expand individual opportunity we are supporting AI Skills Boost to upskill 10 million workers in AI skills by 2030. We have already delivered more than 1 million AI training courses have been delivered to workers across the UK.

Question to the Department for Business and Trade:

To ask His Majesty's Government what assessment they have made of the use of AI in the fashion industry to reduce unsold inventory and improve supply chain efficiency; and what support is available to retailers to adopt such technology to enhance productivity and sustainability.

Answered by Baroness Lloyd of Effra - Baroness in Waiting (HM Household) (Whip)

The fashion industry is increasingly using AI to improve demand forecasting, reduce unsold stock and increase supply chain efficiency, thereby supporting productivity and sustainability. Businesses can access support to adopt AI through programmes such as Made Smarter and Innovate UK, alongside wider productivity, digital adoption and skills initiatives, helping businesses invest in technologies that improve efficiency while reducing waste and environmental impact.

The government supports responsible and ethical AI adoption across our world leading creative industries, enabling organisations and freelancers to improve productivity, reach new audiences and develop new products and services.

Question to the Department for Science, Innovation & Technology:

To ask His Majesty's Government what assessment they have made of the safety, reliability and accountability of AI systems deployed by public services; and what steps they are taking to ensure that appropriate safeguards, testing standards and oversight mechanisms are in place.

Answered by Baroness Lloyd of Effra - Baroness in Waiting (HM Household) (Whip)

The Government recognises that the safe, reliable and accountable use of artificial intelligence is important to maintaining public trust in public services.

Departments deploying AI systems are expected to consider risks and impacts throughout the system lifecycle, including during design, development, deployment and operation. This includes compliance with safety, transparency, accountability, data protection rules and regulations.

The Government has published guidance to support this, including the Data and AI Ethics Framework, the AI Playbook for Government and the AI Knowledge Hub, which together provide advice on governance, risk management, testing and oversight.

In addition, the Department for Science, Innovation and Technology has published guidance on AI assurance, and a cross‑government AI Testing and Assurance Framework supports proportionate testing, evaluation and ongoing monitoring.

AI‑enabled services are also expected to meet the GOV.UK Service Standard, including demonstrating that they are safe, secure, reliable and well‑governed.

Question to the Department for Business and Trade:

To ask His Majesty's Government what assessment they have made of the implications for competition and market access of the integration of generative AI tools into search engines; and what steps they are taking to ensure fair access for content providers and smaller firms in digital markets.

Answered by Baroness Lloyd of Effra - Baroness in Waiting (HM Household) (Whip)

The Competition and Markets Authority (CMA) is the UK’s independent competition authority and is responsible for operating the digital markets regime. It has designated Google with strategic market status in general search and search advertising services. Developments in generative AI were considered during the designation investigation. The CMA is now considering imposing conduct requirements to increase competition.

Question to the Home Office:

To ask His Majesty's Government what assessment they have made of the use of AI chatbot systems to facilitate stalking and harassment; and what steps they are taking to ensure that existing online safety, data protection and criminal law frameworks remain effective in addressing harms arising from the misuse of those technologies.

Answered by Lord Hanson of Flint - Minister of State (Home Office)

The Government continues to take steps to protect the UK public from crimes linked to the misuse of artificial intelligence (AI). This includes when AI is used to aid or facilitate stalking and harassment.

The Online Safety Act already regulates many generative AI services. However, the Government acknowledges that gaps remain, leading to inconsistent coverage of certain AI chatbot services.

We are addressing these gaps as a matter of urgency through an amendment to the Crime and Policing Bill. Through a new delegated power, we will be able to bring currently unregulated AI chatbots into the scope of the Online Safety Act. This will ensure they are subject to requirements to protect users from illegal content and activity.

We are also taking action on so called ‘nudification’ tools, legislating through the Crime and Policing Bill to criminalise the development and supply of tools for generating non-consensual intimate images.

Beyond these measures, we will continue to work closely with law enforcement to tackle the harms presented by AI. The National Centre for VAWG and Public Protection (NCVPP) continues to act as the subject matter expert on ongoing work relating to AI and VAWG in policing, to ensure that safeguarding is a core part of AI tools and models.

Question to the Department for Science, Innovation & Technology:

To ask His Majesty's Government what assessment they have made of the implications for data protection and governance of the involvement of private technology companies in the handling of sensitive data held by public authorities and regulators; and what steps they are taking to ensure that appropriate safeguards relating to data protection, accountability and transparency are in place.

Answered by Baroness Lloyd of Effra - Baroness in Waiting (HM Household) (Whip)

The Government is committed to ensuring that the involvement of private technology companies in the handling of sensitive data held by public authorities and regulators is subject to robust data protection, accountability, and transparency safeguards. All departments undertaking work involving personal data are required to conduct Data Protection Impact Assessments to ensure appropriate privacy, security, and fairness measures are in place. Where private‑sector tools, including algorithmic or AI‑enabled systems, are procured or used, departments must apply mandatory transparency standards and clearly document how such tools are embedded in decision‑making processes, their technical specifications, and relevant risk mitigations.

At a cross‑government level, the Government Digital Service (GDS), within the Department for Science, Innovation and Technology, is strengthening central coordination and oversight of data protection and privacy risks across government. This includes setting consistent standards, supporting departments on the responsible adoption of new technologies, and working closely with the Information Commissioner’s Office to raise data protection and information security standards across the public sector.

These measures are intended to ensure that the use of private technology companies supports innovation and improved public services, while maintaining high standards of data protection, accountability and public trust.

Question to the Home Office:

To ask His Majesty's Government what assessment they have made of the use of facial recognition technologies by police forces and the implications of pausing deployment pending further study of potential racial bias; and what steps they are taking to ensure that such systems are subject to appropriate safeguards, oversight and standards to prevent discriminatory outcomes.

Answered by Lord Hanson of Flint - Minister of State (Home Office)

The Home Office works closely with police forces and stakeholders to assess the use of facial recognition by law enforcement. As part of this engagement, we have consulted on a new legal framework on how and when law enforcement should use biometrics and facial recognition, including the safeguards that should apply to the use of these technologies. That consultation closed on 12 February; we are considering responses and will legislate in due course.

When using the technology, the police must operate within the legal framework, including data protection, equality and human rights legislation, national guidance, a code of practice and force‑level policies. The Home Office is aware of the risk of bias in facial recognition algorithms and all police facial recognition systems funded by the Home Office must be independently tested so that they can be operated at settings where there is negligible bias.

The Home Secretary has also tasked His Majesty’s Inspectorate of Constabulary and Fire & Rescue Services (HMICFRS), with support from the Forensic Science Regulator, to look at whether people have been affected by the bias as part of the inspection of police and relevant law enforcement agencies’ use of retrospective facial recognition. The inspection is in progress and the terms of reference have been published by HMICFRS.

Question to the Department for Science, Innovation & Technology:

To ask His Majesty's Government what assessment they have made of the increasing deployment of generative AI systems in consumer-facing technologies such as voice assistants; and what steps they are taking to ensure that frameworks relating to data protection, consumer protection and product safety remain effective in the deployment of such technologies.

Answered by Baroness Lloyd of Effra - Baroness in Waiting (HM Household) (Whip)

We are committed to ensuring the UK is the leading adopter of AI in the G7, empowering British workers and businesses to seize its benefits by creating more rewarding jobs, increasing productivity and driving growth in our leading sectors.

AI assurance enables consumers to be confident that the products they buy will work as intended, which is why the Government is taking steps to build the AI assurance ecosystem that underpins safe deployment of AI, as set out in the Roadmap to Trusted Third-Party AI Assurance. This includes establishing the Centre for AI Measurement, led by the National Physical Laboratory, to accelerate the development of new, innovative AI assurance techniques.

The law also requires that all consumer products must be safe before they are placed on the market. The Office for Product Safety and Standards and local authority trading standards have enforcement powers across product safety regulations to take non-compliant or unsafe products off the UK market. The product safety framework will better respond to emerging risks posed by digital technologies, including AI-enabled and smart products, ensuring innovation does not come at the expense of consumer safety.