Artificial Intelligence Opportunities Action Plan

Peter Kyle Excerpts

Monday 13th January 2025 Commons Chamber

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

With permission, I would like to make a statement about the Government’s AI opportunities action plan.

This Government were elected on a programme of change. Today, we are publishing the latest step in delivering our plan for change with the AI opportunities action plan. Our plan for change is clear: we will grow the economy, backing British business, with good jobs putting more money in working people’s pockets; and we will rebuild our crumbling public services, too, providing our people with world-class healthcare and education. That ambition shapes our approach to artificial intelligence—the technology set to define our shared future economic and social progress.

AI is no longer the stuff of sci-fi movies and “Dr Who”; the AI revolution is right here and right now. In NHS hospitals, AI is helping doctors to detect and treat disease faster and more effectively, reducing patient waits and saving more lives. In local schools, AI is equipping teachers with the tools to spend more time helping every pupil to achieve their full potential. In high streets across the country, small businesses have started using AI to grow their companies and compete on the global stage.

The applications are boundless and the opportunities profound, but only those countries with the courage to seize them will fully benefit. We do not get to decide whether AI will become part of our world—it already is; the choice is between waiting for AI to reshape our lives, or shaping the future of that technology so that the British economy and working people reap its maximum benefit. We choose fully to embrace the opportunity that AI presents to build a better future for all our citizens. Anything less would be a dereliction of duty.

Since the first industrial revolution, science and technological progress has been the single greatest force of change. Once again, a reforming Labour Government are called to harness the white heat of scientific revolution in the interests of working people. From ending hospital backlogs to securing home-grown energy and giving children the best start in life, AI is essential to our programme of change.

Championing change is in Britons’ DNA—we pioneered the age of steam. I believe that Britain can be a leader now, in the AI age. With world-class talent, excellent universities and an unrivalled record of scientific discovery, we can do so. Home to success stories such as Google DeepMind, ARM and Wayve, we have the third largest AI market in the world.

Just as we have been on AI safety, I believe that Britain has a responsibility to provide global leadership by fairly and effectively seizing the opportunities that AI presents to improve lives. That is why in July last year I asked Matt Clifford to prepare the AI opportunities action plan. Across 50 recommendations, that plan shows how we can shape the application of AI in a modern social market economy, anchored in principles of shared prosperity, improved public services and increased personal opportunity. Through partnership with leading companies and researchers, we will strengthen the foundations of our AI ecosystem, use AI to deliver real change for our citizens, and secure our future by ensuring that we are home to the firms right at the frontier of this technology.

Change has already started. Our transformative planning reforms will make it easier to build data centres—the industrial engines of the AI age. Skills England will prepare British people to be active participants in tomorrow’s business successes. The digital centre of government will use technology to transform the relationship between the modern state and citizens. However, faced with a technology that shows no signs of slowing, we must move faster and further. We are taking forward recommendations to expand Britain’s sovereign AI compute capacity by at least 20 times by 2030, ensuring that British researchers can access the tools they need to develop cutting-edge AI.

We will create AI growth zones to speed up the construction of critical compute infrastructure right across the United Kingdom. With enhanced access to power and streamlined planning approvals, those zones will bring faster growth and better jobs to communities who have missed out in the past. The first pilot AI growth zone will be at Culham in Oxfordshire, a world-renowned hub for clean energy and fusion research. They will pioneer innovative partnerships with business to deliver secure dedicated computing capacity that supports our national priorities. We will also seek a private sector partner to develop one of the UK’s largest AI data centres, beginning with 100 MW of capacity, with plans to scale up to 500 MW.

One of the biggest barriers to success in the AI age is the immense amount of energy that the technology uses. The Energy Secretary and I are convening and co-chairing a new AI energy council to provide expert insight into how to meet this demand, including opportunities to accelerate investment in innovative solutions, such as small modular reactors.

Infrastructure alone, though, is not enough. To deliver security, prosperity and opportunity for every citizen into the long term, we must be makers of this technology, and not just takers. Britain needs our own national champions—our own Googles and Microsofts. We are launching a new dedicated team with a mandate to strengthen our sovereign AI capacities by supporting high-potential frontier AI companies in the UK. This team will work across and beyond Government, partnering with the fast-growing firms to ensure that they can access the compute capacity, the data and the global talent they need to succeed in Britain.

We have already seen how a small number of companies at the frontier of AI are set to wield outsized global influence. We have a narrow window of opportunity to secure a stake in the future of AI. By acting now, we can secure a better future for the British people in the decades to come, but this is just the start. We will safely unlock the value of public sector data assets to support secure, responsible and ethical AI innovation. We will overhaul the skills system to safeguard our status as a top destination for global talent, with a workforce ready for the AI age. We will use a scan, pilot and scale approach to quickly identify and trial ways of using AI to transform our economy and improve our public services.

The stakes just could not be higher. This is a top priority for the Prime Minister and across Government. We will harness the power of AI to fulfil our promise to the British people of better jobs, better public services and better lives. We have attracted more than £25 billion-worth of investment into AI since we took office. This week alone, global giants have committed a further £14 billion-worth of investment. Phase 2 of the spending review will see every Department using technology to drive forward our national missions to deliver better value for taxpayers. AI will also be fundamental to the industrial strategy to attract investment, to grow the economy and to create high-quality, well-paid jobs across the country.

The AI revolution is now. This Government are determined to fully harness this opportunity for British businesses and working people right across the United Kingdom. I commend this statement to the House.

[Madam Deputy Speaker (Caroline Nokes)]

I call the shadow Secretary of State.

[Alan Mak (Havant) (Con)]

I thank the Secretary of State for advance sight of his statement. Let me begin by thanking Matt Clifford for his work. Having known Matt for many years, I am grateful for his long-standing contribution to the tech sector, including with the last Conservative Government.

It was that last Conservative Government who identified the opportunities of AI early, and we acted decisively. We kept Britain out of the EU’s anti-growth regulatory regime, enabling our tech sector to flourish. In contrast, the Secretary of State is on record praising the EU’s approach to AI, which even President Macron rejected. Will the Secretary rule out regulatory alignment with the EU on AI issues? We also launched the incubator for AI, which led on groundbreaking work to improve productivity, and the gov.uk chatbot, both of which were led by my hon. Friend the Member for Brentwood and Ongar (Alex Burghart). Can the Secretary of State guarantee the future of both projects under this Government?

We also provided £500 million for AI compute, because our AI sector requires cutting-edge computing power, as well as more energy to power data centres. Labour’s energy policy is taking our country to the brink of blackouts. Instead of just launching another quango—the AI energy council—can the Secretary of State assure the House that the AI sector will have reliable access to all the energy it needs? It was a Conservative Government who organised the world’s first AI safety summit and delivered the world’s third largest AI market, fostering an environment in which Sir Demis Hassabis won the Nobel prize last year. Even the Prime Minister admitted today that when it comes to AI, Britain starts with a position of strength.

The bad news is that Labour is already squandering the world-leading AI position that we built up for Britain. Last July, one of Labour’s first actions on entering government was to cut £1.3 billion of funding for Britain’s first exascale supercomputer and the AI research resource—both of which Matt Clifford’s report says deserve support. Why did the Secretary of State not stand up to the Chancellor when she cut the funding last July? Anyone reading the plan will see that it has been fully drenched in Labour gobbledegook, peppered with references to “missions”, “mission delivery boards”, “clusters”, “sector champions” and even “local trusted intermediaries”. Its plan confirms what everyone suspected all along: Labour prefers technocratic jargon over the actual tech sector.

The plan was ready last September and due to be published last November. Why did Labour delay publication again and again, and finally choose a day when it needed to divert attention away from the beleaguered Chancellor? What is not in the plan is even more telling than what is. First, there is nothing to correct the huge damage that Labour has already inflicted on the AI sector through the Chancellor’s national insurance jobs tax, which punishes every tech worker by £900 per person per year. Will the Secretary of State apologise today for making our tech workers take a wage cut and for reducing their living standards?

Labour’s response is full of aspirational dates for targets to be met, but there are no specific plans setting out how it will achieve the targets or pay for them—so much for the Chancellor’s iron grip on the public finances. Given that there is no new funding, will the Secretary of State give a precise date for publishing his spending plans, and confirm what funding will be cut from existing projects to pay for this plan’s 50 new commitments? Why have the Government created two more AI quangos today? The Prime Minister has announced or created a quango almost every week since coming to office. Today, it is clearly the tech sector’s turn. Will the Secretary of State reassure the House and the country that his two new AI quangos will not just tie up our tech sector in more red tape?

Last week, the Chancellor fled the country. As she headed east, our economy went south. Labour promised growth but it has delivered failure. It has published an underwhelming plan three months late. It has punished our tech workers with the national insurance jobs tax. It has saddled our tech sector with red tape and more quangos, and it aligns itself with the EU when everybody else is saying no. Labour’s delayed AI plan is analogue Government in the digital age: slow, uninspiring and not good enough for Britain. Our country deserves the best, but Labour has let Britain down again.

[Peter Kyle]

I am kind of grateful for the hon. Member’s comments, but I feel a bit sorry for him. He praised Matt Clifford and his independent report, because Matt Clifford is an astonishing person—as a House we should all give credit to somebody who has been so successful in the tech sector out there in the real economy, while giving up so much time for public service. I am grateful for him. But the hon. Member then went on to talk about his report as if it is Labour’s report, “full of gobbledegook”. It was not Labour’s report but Matt Clifford’s report. If the hon. Member respected Matt Clifford, he would not be attacking the very report that he authored. I did not author it; I just looked at the recommendations, saw the logic and the scale of the ambition in it and said yes. We share that sense of ambition and we will deliver it, too.

If the hon. Member cared so much about compute and the exascale computer, his Government would have done something fundamental to deliver it. They would have allocated the money. If they are standing up in public and saying that they will deliver something, it is pretty basic stuff to allocate the resources to deliver it. That project never existed, because the money never existed. It was a fraud committed on the scientific community of our country—smoke and mirrors from the outset. All I did was be honest with the public about the scale of the deceit inflicted on them. I corrected a wrong from the previous Administration.

Today, we have a plan. The task set for Matt Clifford was not to look at what Government—particularly the previous Government—are capable of and then to try to design a programme limited by the scale of their chaotic abilities. Instead, the Prime Minister and I asked Matt Clifford to look at our country’s potential if we get everything right on the digital infrastructure and opportunities of the future, and that is what his plan has done. There are things this Government need to do differently in order to realise the potential out there in our country, and that is what we have set about doing today by accepting all 50 recommendations.

When they were in office, the Conservatives did down our country; now, in opposition, they do nothing but talk it down. That is a shame.

[Madam Deputy Speaker (Caroline Nokes)]

I call the Chair of the Science, Innovation and Technology Committee.

[Chi Onwurah (Newcastle upon Tyne Central and West) (Lab)]

I welcome the Government embracing AI and the Secretary of State’s leadership in accepting every single one of Matt Clifford’s recommendations —I hope he will be as receptive in accepting the recommendations of my Committee. Does the Secretary of State agree that those who say this plan is irrelevant to the challenges of economic growth in public sector financing that we are facing fundamentally misunderstand the nature of the opportunities that AI represents, its presence everywhere in our lives already, the frenetic pace of its implementation and its ability to drive growth? Most importantly, however, they misunderstand the nature of business confidence. Having a Government who understand how to drive these opportunities into every home, business and public sector service in the land is a reason for business confidence.

[Peter Kyle]

I am extremely grateful to my hon. Friend for her comments and for the service of her Committee. It was a privilege to go before her Committee so soon after its formation, and I look forward to engaging in the future. She is completely right. We hear a lot about business confidence and the words that come out of certain parts of the business community, but today, they have voted with their investment. We have announced an additional £14 billion and the creation of up to 13,000 jobs as a result of today’s investment—that is business showing confidence in this Government. Of course, for many of the schemes announced today, the policies will deliver into the short, medium and long term. Together with our regulatory innovation office and our planning reforms, that investment will mean that shovels go into the ground quickly, and the jobs and wealth that will be created by it will start paying dividends very soon.

[Madam Deputy Speaker]

I call the Liberal Democrat spokesperson.

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[Victoria Collins (Harpenden and Berkhamsted) (LD)]

I thank the Secretary of State for advance sight of the statement.

We are all too aware of the economic malaise inherited from the previous Conservative Government. Innovation in technology can help to reverse years of decline, and the UK must be a world leader in quality innovation. From helping to save lives to boosting our economy, good tech is good for business, and that is why safety and AI innovation must go hand in hand. We must build trust and bring people along, not risk breeding suspicion or fear. As the Ada Lovelace Institute said this morning,

“there will be no bigger roadblock to AI’s transformative potential than a failure in public confidence.”

The national data library would represent a major shift in public sector data handling. How will the Government ensure the necessary safeguards are in place? How will they maintain public confidence?

While the focus on AI training is welcome, we must go beyond high-level skills. Not only are tech companies themselves calling out for technical skills, but AI is here now, shaping workplaces, services and lives. What is being done to ensure all sectors of society can access lifelong learning and training? Where is the strategy to address digital exclusion so that no one is left behind? Furthermore, the text and data mining regime is a concern. Creatives will be dismayed by the Government’s acceptance of an opt-out system, which I urge the Government to reassess.

The Prime Minister says that our AI safety infrastructure is world leading, but companies are calling for better funding access with better support from the British Business Bank, simpler ways of working with international talent and better infrastructure, from labs to internet access. How will the Government choose where those growth zones will be and ensure the benefits are shared across the UK? How will they ensure that small, innovative start-ups are not left behind?

Innovation must go hand in hand with safety and trust, with the right guardrails in place to promote safety by design. Only by doing so can we lead in quality innovation and ensure the benefits are felt across the UK.

[Peter Kyle]

I am grateful to the hon. Lady for her constructive comments. She mentions trust. Trust is incredibly important in this whole agenda. We have seen too many times in the past where a fearful public have failed to fully grasp the potential for innovation coming out of the scientific community in this country. We are not going to make that mistake. We understand from the outset that to take the public with us we must inspire confidence. We must have safety assured from the outset and that is a commitment I make today. If people are not safe and protected, and do not feel safe, they will not explore confidently all the potential that AI and the digital world presents to them, their families, their communities, their businesses and us as a country. We must ensure that they do so.

On intellectual property, a consultation is under way. The hon. Lady, along with the rest of the public and all interested parties, are very welcome to take part—indeed, I implore them to do so.

Growth zones present the most remarkable opportunity for parts of our country. We want to ensure not just that every part of the country benefits, but that those parts of the country that experienced deindustrialisation and suffered at the hands of the Conservative Government over 14 years of stagnation, chaos and the poor strategic planning of our economy, benefit the most. In the coming weeks we will announce the process by which we will select the future AI growth zones. I implore areas, regions and parts of our country that are interested to start looking at the Government’s direction of travel to see whether they can play a part, and whether they can get involved and start delivering AI growth zones in their area. There are parts of the country that will really benefit. We want to ensure that we have a set of local authorities and areas that are eager to take advantage of it.

[Dr Allison Gardner (Stoke-on-Trent South) (Lab)]

Cities like Stoke-on-Trent, left behind by the previous Conservative Government, could significantly benefit from targeted AI investment. AI growth zones are one such opportunity. We have a great site in Stoke-on-Trent and energy innovations. Will the Secretary of State outline plans for using AI to drive investment towards the CreaTech hub that is Stoke-on-Trent?

[Peter Kyle]

The people of Stoke-on-Trent are extremely lucky to have such a strong advocate, not just for the infrastructure of the future but for the skills and the talent that exists across Stoke-on-Trent. I can assure my hon. Friend that we are eagerly awaiting any interest that Stoke-on-Trent shows in the growth zone area and in all the other announcements that came out in the plan today. We will not do “to” communities; we will partner “with” communities, areas and the nations of the United Kingdom to ensure that everyone benefits. Those who are hungry to embrace the agenda will have an active partner in my Department and this Government.

[Dame Caroline Dinenage (Gosport) (Con)]

The action plan calls for an AI sector champion in the creative industries, but what the Government really need is a creative industries champion. The Government’s copyright and AI consultation, which is so crucial for the creative industries, does not close until 25 February. One option on the table includes maintaining our current gold-standard copyright regime. Why does it seem that the Government have already made up their mind on that consultation? This plan heralds the reform of the UK text and data mining regime to be as least as competitive as the EU’s. This plan makes a nonsense of that consultation, does it not?

[Peter Kyle]

The hon. Lady, unfortunately, does not understand the idea of a consultation. We are open minded and we are listening eagerly to the sector. What I will not do is be forced to make a choice. We have the second-largest creative industries market in the world and the third-largest AI market in the world. This is a gift for a country like ours: two great sectors that are rooted in the future of where global economic prosperity lies. She and the Conservative party want us to make a choice between one or the other. We will not make that choice. On her call for a Government champion for the creative arts, we have one: the Minister for Creative Industries, Arts and Tourism, my hon. Friend the Member for Rhondda and Ogmore (Chris Bryant). I sit alongside him and am very grateful to do so.

[Jon Pearce (High Peak) (Lab)]

Small businesses and start-ups are vital to the local economy in my constituency and throughout the UK. Can the Secretary of State explain how his AI action plan will help those small businesses to seize the opportunities of AI, and deliver the growth that we desperately need across the country?

[Peter Kyle]

The people and businesses of High Peak have a great champion in my hon. Friend, and as such they will be able to reap the rewards. We need all parts of the economy to embrace digital technology fully in a digital future, and to do so with confidence. The Office for Budget Responsibility said some time ago that if businesses across Britain did do so equally it would add 0.5% to productivity, which would mean £27 billion of fiscal headroom for the Exchequer. We have set about doing so because that is how we can break out of the inheritance from the Conservative Government of high tax and low growth. We want to invest in that future, and small businesses will be at the forefront. The great thing about AI and digital technology is that it puts into the hands of small businesses the kind of power that to date has only been within the reach of large businesses. This is a huge opportunity, and I hope that people running small and medium-sized enterprises across the country will grab it with both hands.

[Sir John Whittingdale (Maldon) (Con)]

This morning the Prime Minister spoke about the Government’s wish to develop a clear and trusted copyright regime, which is, I believe, what many in the creative industries thought we already had. When the Secretary of State comes to consider Matt Clifford’s recommendation for reform of the text and data mining regime, will the consultation include consideration of potentially strengthening intellectual property protection rather than weakening it?

[Peter Kyle]

The right hon. Gentleman is a persistent advocate of the issue that he has raised, but let me gently say to him that if the current legal regime were so satisfactory, there would not be so many outstanding court cases concerning that precise issue; it is clearly struggling to keep up with the time in which we are living. We want to ensure that, yes, we do strengthen the rights of the people who use the creative industries and all the great potential that that has for individual copyrighted material, and we want to strengthen that into the future, but also to get it right for the future. That is why we are thinking about the needs, demands and opportunities of the future, and making sure that the settlement for those creating digital, AI and creative industry products and services benefits them equally as we go forward, and that they have the assertion of the law.

[Emily Darlington (Milton Keynes Central) (Lab)]

I am equally excited by the opportunities that being a leader in AI can bring to the people of the UK. As my right hon. Friend will know, Milton Keynes has been a leader from its outset. We have Bletchley Park, the birthplace of machine learning and AI, but Milton Keynes businesses are leading as well, especially in arts, services and transport. The heart of our security services efforts is based there, as is our skills base between the South Central institute of technology, Cranfield university and the Open university. Will my right hon. Friend meet me, and other AI champions from Milton Keynes, to come up with actions to make this plan a reality for the people there?

--- Later in debate ---

[Peter Kyle]

I have visited Silicon Valley three times in the past year, and one of the things I have noticed is that the constituent parts that make it so magical when it comes to innovation and the upscaling of it exist here in the UK, but we are not bringing it together and using it in the right way. My hon. Friend has just identified many of those constituent elements in Milton Keynes, and they have a great champion in her, because they need to be co-ordinated better to fully exploit the opportunities of the future. I hope that, along with this Government and my Department, I can be the partner that she needs, and I look forward to meeting her and her stakeholders.

[Lisa Smart (Hazel Grove) (LD)]

I very much agree with the sentiments of the Secretary of State about the opportunities that AI presents, including those that it presents to my constituents, but with any opportunity often comes risk. Can he update the House on any conversations he has had with colleagues from the Home Office about ensuring that police are properly trained, equipped and resourced to deal with crime that is brought about through, for instance, deepfakes, misinformation or disinformation?

[Peter Kyle]

The hon. Lady has raised a very good point. I can assure her that we are indeed in touch with the Home Office, as we are with every frontline public service department, to ensure that AI is used and the potential is embraced. However, as I said earlier, safety and protection must be the first step, so that the public can be reassured that we are using this technology wisely and in their interests.

[Clive Efford (Eltham and Chislehurst) (Lab)]

I welcome my right hon. Friend’s statement. Future AI will be essential to the future of our public services, particularly in improving productivity. Can he say exactly what the Government will do to assist our public services to take advantage of the opportunities that AI offers?

[Peter Kyle]

My hon. Friend is absolutely right. The thing about AI is that it is not a singular technology; it is a general purpose technology. Just in health alone, AI is already being used in hospitals’ radiography departments, such as in Huddersfield, to make sure that scanning is more precise. We can detect early patterns quicker, so we get to disease quicker, and productivity is increasing—in Huddersfield’s case, from 700 to 1,000 scans a week. Simultaneously, AI is ensuring that doctors’ time is used more wisely in the test pilots that we are running. We are using digital technology to create a more human experience, because doctors can spend more time with patients. That is what happens when we use AI and digital technology wisely. It is why we, unlike the previous Government, will not sit on the sidelines and let the market do business as it sees fit. We will use the power of Government, and the agency that comes with it, to ensure that this technology is used for the benefit of all.

[Lincoln Jopp (Spelthorne) (Con)]

I do not know whether the Secretary of State has had a moment to read The Times this morning, but it reports that the Chancellor is using a new AI tool to answer her emails. It is 70% accurate and is

“performing as good or better than existing processes”,

which does not say a great deal for the ability of the Chancellor to answer her own emails. Be that as it may, could the Secretary of State please reassure us that any AI tool being used across Government will ensure that any statement brought to the Dispatch Box by the Chancellor is 100% accurate?

[Peter Kyle]

I can assure the hon. Gentleman that we are piloting, developing and hoping to deploy AI across Government to drive efficiencies and effectiveness, and to serve the people of this country better than ever before—and certainly better, more efficiently and more effectively than they experienced during the previous 14 years.

[Steve Race (Exeter) (Lab)]

Can my right hon. Friend set out what role he envisages the digital centre of Government will play in driving AI adoption across public services and Departments to benefit my residents in Exeter?

[Peter Kyle]

The people of Exeter will experience many benefits through this Government’s digital technology programme. We have created the digital centre of Government because previously digital services were dispersed across Government. The Government often bought off-the-shelf products and services from big providers, because the capacity did not exist in Government to understand, develop, deploy and program services in-house. We now have a powerful digital centre of Government, which is working alongside tech companies and often developing in-house. I am really excited that in the days and weeks—not months and years—that lie ahead, we will tell the public more about what the digital service is delivering for citizens across this country.

[John Glen (Salisbury) (Con)]

I draw the House’s attention to my entry in the Register of Members’ Financial Interests.

I welcome the Government’s ambition in this space, but one area of significant challenge to many tech companies that I have observed and invested in over 20 years has been the ecosystem of investment in the UK. May I urge the Secretary of State to work closely with the Parliamentary Secretary, His Majesty’s Treasury, the hon. Member for Wycombe (Emma Reynolds), who is undertaking valuable work on pension reforms, so that we can intensify the understanding in the City of the opportunities that exist in this new sector, particularly at series C and before, where there is a gap? It has a meaningful impact on the growth potential of so many businesses across this country.

[Peter Kyle]

The right hon. Gentleman raises an incredibly pertinent point, and he mentions one of the great challenges. There are many challenges in this agenda, which is why we are striving so hard to get as much progress as we can. Removing one of the key barriers to not just upscaling innovation, but keeping it in this country, involves making sure that the investment landscape is comprehensive and swift enough—not just at spin out and scale up, but when we get to the point where we need the further rounds of investment that he mentions. Sometimes that is in the hundreds of millions of pounds, and sometimes it takes time to become profitable. Taking that kind of investment risk is essential.

I can assure the right hon. Gentleman that the Chancellor and my hon. Friend the Parliamentary Secretary are both working intensively on pension reform. We did so in opposition, and we are carrying on with the Mansion House process. We want to make sure that the investment landscape in this country is world class. Right now, we have some work to do, but we are getting there.

[Tracy Gilbert (Edinburgh North and Leith) (Lab)]

I am pleased that today’s action plan refers to the expertise and development in AI that already exists in Edinburgh. It is understandable that the Government had to cancel a number of unfunded projects from the last Administration. However, will my right hon. Friend work with stakeholders to ensure that the ambition to develop an exascale computer in Edinburgh is at the heart of the Government’s long-term plan and will be brought forward in the next six months?

[Peter Kyle]

At last, there is a great advocate for a sustainable, fully funded, fully costed compute landscape for our country. That is something we have begun announcing in today’s plan, and into the spring I will announce further strategy on compute. I want to make sure that we have the right resilient, sustainable investment that our country needs when it comes to public compute. We have committed today to increasing our public compute by a factor of 20 in the next five years. That shows the scale of our ambition. My hon. Friend can rest assured that when we make announcements on the compute needs of our country, particularly when individual institutions are involved, they will be fully costed, they will be fully funded and they will be delivered.

[Pete Wishart (Perth and Kinross-shire) (SNP)]

People in our world-class creative sector will not be in the least bit reassured by the Minister this afternoon. Our artists face the real prospect of their wonderful works being ingested by AI companies without recompense or even permission. We know that the consultation is ongoing, but what people want to hear is the Minister’s intention when it comes to copyright. Can he reassure people who are listening today that our wonderful copyright regime will remain in place at the end of this process?

[Peter Kyle]

We are already on record as saying that we want more licensing of copyrighted material, not less. The hon. Gentleman’s characterisation is a mischaracterisation of the intentions of this Government. The consultation is there, and we want to hear from people. We will deliver a way forward that harnesses all the opportunities of the creative industries into the future, not based on the past. We will allow AI companies to come here and invest into the future. We do not need to pit both sectors against each other. We as a country should celebrate that we have an economy so diverse that we can have the best of both sectors. We can have world-class sectors in both AI technology and the creative arts. That is something that we celebrate, but we seem to be the only party in this House that does.

[Florence Eshalomi (Vauxhall and Camberwell Green) (Lab/Co-op)]

I welcome the Secretary of State’s statement this afternoon. I know that he takes this subject really seriously. He was in my constituency just before Christmas, although it is a shame that he did not go into the PET scanner. I welcome the improvements in terms of education. For the many parents who, like me, have to battle with Google Classroom when they forget the password, I hope AI can resolve that issue.

One of the issues with AI is the mistrust in some communities, particularly black and minority ethnic communities, who worry about what their data will be used for. How will the Secretary of State work with certain communities, including in my constituency and other diverse constituencies, to build up public trust and confidence that their data will be used in an ethical and safe manner?

[Peter Kyle]

My hon. Friend makes the most important point. I am determined—I have said this publicly numerous times—that equity will be built into the technology and the policies of this Government from the outset. When she reads the reports, when she hears the words of this Government and when she listens to the Prime Minister, I hope she is reassured that this Government want to ensure that everyone from every background not only feels the ability to connect with and work within the tech sector here to create the technology of the future, but benefits equally from the products that come out the other side, including being able to use products intuitively and benefit from the wealth that is created from them. When it comes to using public data, I realise that there are communities in parts of this country that need to be taken on a longer journey and to be more reassured, and I fully commit to doing so as we go forward.

[Mr Gagan Mohindra (South West Hertfordshire) (Con)]

I welcome this action plan, which mentions data centres. As the Secretary of State may be aware, the Deputy Prime Minister is currently reviewing the need for a data centre in Kings Langley in my constituency.

Both the report and the Secretary of State talk about ensuring that the infrastructure is in the right place. I am working alongside my constituents in Kings Langley, because the proposed site is prime green belt. If there is a need to build on and develop the site, housing would make better sense, because energy—a huge requirement for data centres—is not available nearby. How can the Secretary of State ensure that we are not encouraging the building of white elephants in the wrong places?

[Peter Kyle]

I can assure the hon. Gentleman that the energy and other constituent needs of data centres are, at last, being taken into account in strategic planning in our country. We have created the AI Energy Council, which is jointly chaired by the Energy Secretary and me, and the planning reforms will mean that we can expedite investment in data centres.

The hon. Gentleman should be aware that data centres are not a singular investment, but that other innovations, industries and businesses often cluster around them. He mentioned heat, and community heat networks often stem and flow from such investments, if there is the right local leadership, if there is planning in place and if there is the vision to make sure that our country benefits the most.

We have that vision, and I implore the hon. Gentleman to start getting involved with the local issues to shape what unfolds for the digital infrastructure of the future, so that it benefits absolutely everyone. This is a potential source of sustainable, good-quality wealth creation and job creation into the future. I suggest that his party gets on board and grabs it with both hands, rather than talking down the agenda we are putting forward today.

[Catherine Fookes (Monmouthshire) (Lab)]

I thank the Secretary of State for his statement. I am delighted that Vantage Data Centres is working to build one of Europe’s largest data centre campuses in Wales, and plans to invest over £12 billion in data centres across the UK, creating 11,500 jobs. This is, of course, great news for our Government’s economic growth mission. Can the Secretary of State therefore provide some insight into what this will mean for areas like my Monmouthshire constituency?

[Peter Kyle]

I am grateful that my hon. Friend can already see the benefits from this investment, because she is positive and is engaging and thinking deeply about the potential benefits. Incidentally, this investment is happening right now—not in the future, but right now. She will be best placed to help steer it for the benefit of all. The people of Monmouthshire are very grateful to have her, just as we are very grateful to have her in the House, as a champion for these issues.

[Sir Julian Lewis (New Forest East) (Con)]

I revert to the article in The Times mentioned by my hon. and gallant Friend the Member for Spelthorne (Lincoln Jopp), headlined: “Rachel Reeves using AI to reply to Treasury emails”.

[Sir Julian Lewis]

I beg your pardon, Madam Deputy Speaker. I did not want to misquote the headline.

Nevertheless—as we now all know who she is—I discover that, instead of corresponding with her civil servants, as I thought, I am engaging with something called a “correspondence triage automation tool”, which is used for

“the automatic matching of correspondence with appropriate standard responses”.

That might give us cause to chuckle, but can we at least have an assurance that when we write to Ministers, even if they are not replying, they will at least be informed of the fact that concerns have been raised by Members of this House?

[Peter Kyle]

I can assure the right hon. Gentleman that Ministers are fully engaged in corresponding with Members across the House. Having been a Back Bencher for so long in opposition, I can assure you that I strive to be a lot better than what I experienced during so many of those years.

[Madam Deputy Speaker]

Order. Can I just remind the Secretary of State that we do not use “you” in the Chamber? Please can questions and answers be brief? I would like to get everybody in before 6 o’clock.

[Andrew Pakes (Peterborough) (Lab)]

I thank the Secretary of State and his team for their vision and leadership on this critical issue. These exciting plans could help us to drive growth, create jobs and improve public services. Places like Peterborough could be at the heart of the silicon fens if we get this right. Critical to that will be the issue of skills in cities like mine—cities that were left behind for too long by the previous Government. Can the Secretary of State update and inform us on what progress his Department is making on assessing the UK skills gap when it comes to AI, and how we can ensure that growth benefits all parts of the country as we embark on this plan?

[Peter Kyle]

My hon. Friend is absolutely right. He said, “if we choose to”. This Government do choose to, and that means engaging with the Education Secretary on the skills agenda, and being determined to ensure that every community across the United Kingdom has equal access to the technology’s potential.

[Alison Bennett (Mid Sussex) (LD)]

The Secretary of State is a constituency neighbour, so he will know that the convergence of the AI expertise at the University of Sussex, sustainable power from Rampion wind farm and computer power expertise from Universal Quantum, based in Haywards Heath, creates an ideal ecosystem for supporting the UK Government’s ambitious AI strategy. Does he agree that our corner of Sussex is a strong contender to be a hub for sustainable AI development? Will he meet me to discuss those opportunities?

[Peter Kyle]

It will not surprise the hon. Lady or the House to hear that I agree with championing Sussex. I went to the University of Sussex myself; I am an alumnus. Its AI research centre was established in the 1960s. That shows just how long scientific endeavour in digital technology has been in full flow in this country. Of course, I look forward to meeting the hon. Lady, perhaps down in sunny Sussex.

[Jacob Collier (Burton and Uttoxeter) (Lab)]

AI offers immense potential for driving economic growth, but it also presents challenges for post-industrial areas, such as my constituency of Burton and Uttoxeter, including the risk of job displacement, skills shortages and infrastructure gaps, as well as concerns around public trust and the impact on communities. How are the Government addressing those challenges to ensure that AI delivers highly skilled sustainable jobs and long-term benefits to regions like mine in the midlands?

[Peter Kyle]

I assure my hon. Friend that the communities that he refers to are at the front and centre of the way that we envisage using the power of Government to steer this technology for the good of all. It is essential that communities like his benefit. In the past, wave after wave of revolution negatively impacted such communities, but that will not happen on our watch.

[John Cooper (Dumfries and Galloway) (Con)]

I make no apology for returning to the vital question of copyright. Notwithstanding the consultation, the plan recommends that we follow Europe in having an opt-out model. Does the Secretary of State not agree with me and the News Media Association that that would be a watering down of our exemplary copyright laws?

[Peter Kyle]

We put forward proposals as an entire package, which we are consulting on. The hon. Gentleman references one part of the package. If he looks at it as a whole, he will see that we are striving to take care of all the competing challenges, because of the benefits and opportunities for modern Britain.

[Mrs Sureena Brackenridge (Wolverhampton North East) (Lab)]

Does my right hon. Friend agree that AI is not going away? It is therefore best for the UK to lead development and best practice, so that AI systems are safer for my constituents in Wolverhampton North East.

[Peter Kyle]

My hon. Friend is absolutely right. This technology is not going away. The choice this Government have made is not to sit on the sidelines, as the Conservative Government did for the last 14 years. We will safely positively explore all the potential that AI has for our country, our economy and communities like hers. I am grateful for her attitude towards the statement, because that is the way to ensure that communities like hers benefit greatly from the next wave of industrial progress.

[Jim Allister (North Antrim) (TUV)]

The Secretary of State makes clear his ambition to make the United Kingdom the frontier home of choice for AI firms, and he hopes to see a significant increase in data centres. I trust that his ambition will be fulfilled. The Republic of Ireland, our neighbour, has been very successful in securing multiple data centres, primarily because of its very competitive corporation tax rate. Is a competitive corporation tax rate the missing component that would bring all this work together?

[Peter Kyle]

I got to Northern Ireland as soon as I could after my appointment to this job. I have to correct the hon. and learned Gentleman on one point. We have attracted £24 billion of investment in AI in this country since taking office, and an additional £14 billion this week alone. I think that tells the House that the missing ingredient was not what he said it was, but a Labour Government.

[Matt Rodda (Reading Central) (Lab)]

I welcome today’s statement, and wholeheartedly support close work with the private sector, and the investments in AI and data centres. Will the Secretary of State say a little more about his work to encourage more small businesses to benefit from AI, and will he consider Reading as a potential hub?

[Peter Kyle]

I really look forward to Reading getting involved, and to it offering to partner with us. We want to get investment into great places like Reading, which has a lot of great small businesses. Small businesses in communities up and down the country could benefit the most. They might sometimes feel like they are tucked away, but they can enter the global stage because of the technology that is before us. The Government’s job is to ensure that the infrastructure is there, and that all the technology is as accessible to small businesses as it is to big companies.

[Saqib Bhatti (Meriden and Solihull East) (Con)]

We should be under no illusion: the U-turn on a supercomputer is exactly that. We committed £1.3 billion to it; Labour cancelled it. Can the Secretary of State tell the House how much money has been set aside to achieve his supercomputer ambitions?

[Peter Kyle]

I admire the way the Conservatives just push through with this. They did not commit a single penny to a single one of the projects that the hon. Gentleman mentions. They want all the benefits of our Budget, but will not say how they would pay for them. He is actually asking me to cut £800 million, or £1.3 billion, of revenue—perhaps cut thousands of research grants to universities and PhD students—to pay for a project that the Conservative Government announced but did not commit a single penny to.

[Chris McDonald (Stockton North) (Lab)]

The Secretary of State mentioned the benefits to industrial communities such as Stockton North. Does he agree that the commitment to artificial intelligence will lead to more investment in data-intensive heavy industries, such as chemicals and life sciences? I warmly invite him to visit the Billingham chemicals cluster in my constituency if he wishes to see industrial AI in action.

[Peter Kyle]

My hon. Friend could not be more right. Not only will AI improve the investment landscape for physical infrastructure but it will mean profound technological advances in all sorts of industries, including those that are chemistry dependent. I am so glad that those industries have an MP who recognises that, is on their side, and is sticking up for them today in the British Parliament.

[Mike Martin (Tunbridge Wells) (LD)]

It is clear that AI brings great opportunities, as well as some dangers. Nowhere is that more clear than in the military realm, where, to put it simply, an algorithm can help us make a decision about who to kill, and the quicker we do that, the more of an advantage it gives our side. On the other side of the ledger, if we kill the wrong person, our entire legal and ethical framework for how we conduct war disappears. Will the Secretary of State give the House a broad outline of his discussions with the Ministry of Defence on this important international issue?

[Peter Kyle]

The hon. Gentleman raises an incredibly important point. I assure him that we have a world-class defence industry in this country, world-class defensive capabilities in the Ministry of Defence, and a Government who are determined to ensure that not just digital technology and AI but all evolving technology is used ethically and appropriately in the defence of our nation. I also assure him that the Prime Minister has written to each Government Department asking for their plans on digital progress and safely harnessing the power of digital technology, and that my Department and the Ministry of Defence are in touch.

[Andrew Cooper (Mid Cheshire) (Lab)]

At the risk of disagreeing with some of my colleagues, it is surely Mid Cheshire that is leading the way on AI innovation in the north-west; we have a number of companies working on game-changing applications. Safety Shield Global in Winsford won a King’s award for enterprise for its AI model, which has been 10 years in the making and is keeping construction workers safe on sites all over the world. The action plan talks about the potential of post-industrial constituencies such as mine to act as AI growth zones—key drivers for regional growth. How can areas work with the Government to get AI growth zones up and running, and how soon does he expect them to be operational?

[Peter Kyle]

I am grateful to my hon. Friend for sharing that example from his constituency. In the coming weeks, we will release details of how local communities can get involved and apply to become AI growth zones; I really look forward to seeing his.

[Chris Law (Dundee Central) (SNP)]

Over the summer, the UK Labour Government cancelled £1.3 billion-worth of investment in tech and AI projects, including £800 million for the next-generation exascale supercomputer at the University of Edinburgh. The UK Government described the project as making “little strategic sense”, yet today they have pledged to turbocharge AI, including through plans to build a brand-new—wait for it—supercomputer. There is to be new investment; given that the University of Edinburgh has been at the centre of research and development of AI for more than 60 years, will the new supercomputer be located in Edinburgh?

[Peter Kyle]

I will make the basic point again, because I think the hon. Gentleman needs to hear it again: I could not cut something that did not exist. I have extended the life of the existing supercomputer for another year, so that people have the reassurance that the capabilities needed are there, via the University of Edinburgh. In that time, I have been working on a strategy that will have resilience because it will be fully costed, fully planned and fully funded, so that from spring, when the strategy will be released, those who need to know the strategic opportunities in our country will have the certainty that they need, now and for the long term.

[Catherine Atkinson (Derby North) (Lab)]

A barrier to the growth of data centres for AI is their need for power. Rolls-Royce in Derby is at the forefront of small modular reactors and micro-reactors. SMRs are small enough to be on or next to data centre sites, and micro-reactors are the size of a shipping container. Co-location would mean less vulnerability to grid failure and cyber-attacks. Will the Secretary of State work with the Department for Energy Security and Net Zero to explore whether this could be the clean energy solution needed to support sovereign AI capabilities?

[Peter Kyle]

I am grateful for my hon. Friend’s very pertinent question. Investment is going into new sources of energy from investors around the world. I am really pleased that we have Rolls-Royce, which I visited just before the election, up in Coventry. I saw some of Rolls-Royce’s capabilities and heard some of its ambitions. I assure her that the AI Energy Council, which I chair jointly with the Energy Secretary, will take into consideration these sorts of issues, and ensure that the Government engage with those innovations. We want to ensure that we are at the forefront of not just data infrastructure but all the related industries from which our country can benefit.

[Jim Shannon (Strangford) (DUP)]

Given that AI capability will seemingly be used positively, can the Secretary of State explain how the plan will advance areas such as healthcare? Does he see it as a way of reducing backlogs in the NHS, including in waiting lists and booking systems, and can he confirm that all regions of the United Kingdom of Great Britain and Northern Ireland will play their part and benefit from AI?

[Peter Kyle]

I am always grateful to the hon. Gentleman for his contributions, and have enjoyed working with him in opposition and now in government. AI has enormous potential for the health service; it could improve productivity, bring about innovation, and advance treatments and medicine. I assure him that we are striving for that. The Health Secretary and I are making many visits together to try to understand how we can work together to ensure that technology is developed and implemented throughout the NHS. I have been in touch with the Northern Ireland Assembly on the way forward, and on how the Administration in Westminster can partner with the Northern Ireland Government and ensure that Northern Ireland benefits. I know that there are challenges with the waiting lists there.

[Gordon McKee (Glasgow South) (Lab)]

I join the Secretary of State in praising Matt Clifford, who has produced a top-class report. When building data centres for training AI models, two things are needed: lots of energy, and ideally, cold weather. Fortunately, Scotland has both of those in abundance, so will the Secretary of State ensure that one of the AI growth zones is in Scotland?

[Peter Kyle]

I am not going to engage on the weather, coming from Brighton, which is the sunniest mainland city in the UK, but I thank my hon. Friend for letting me get that on the record. I assure him that we want all parts of the United Kingdom to benefit. I was in touch with the Scottish Government Finance Minister just last week. I am determined that all parts of the United Kingdom benefit, and that fully includes Scotland. Scotland is lucky to have him here championing its cause and celebrating its potential.

[Mr Jonathan Brash (Hartlepool) (Lab)]

Progress in this area will be incredibly energy dependent. Does my right hon. Friend agree that we need to speed up the roll-out of small and advanced modular reactors to meet that demand? Given its history, skillset and location, Hartlepool presents a perfect opportunity for this type of investment.

[Peter Kyle]

I assure my hon. Friend that we are striving to ensure that innovation of all kinds is expedited. That is why I established the regulatory innovation office in the Department for Science, Innovation and Technology. We are already piloting four areas of policy so that we can get innovation off the drawing board and into the economy, benefiting the health and wealth of the nation as quickly as possible. I assure him that we are wasting no time to get that done.

[Warinder Juss (Wolverhampton West) (Lab)]

I welcome the Secretary of State’s statement. As he said, the AI revolution is taking place now, and it will make significant improvements in the promotion of public services and businesses. However, would he reassure my constituents in Wolverhampton West on what specific steps he will take to ensure that AI is safe in every possible way?

[Peter Kyle]

The work of the AI Safety Institute is ongoing, and it does world-class work. Of course, AI is fuelled by data, and we know that the public need reassurance that data will be used safely. With a data Bill going through, and with a Government that want to ensure people have the rights they need to have control over their data, I want to assure my hon. Friend on the use of data, technology and AI, as well as on the use of algorithms, which are increasingly being used in the private sector, but also in Government. Unlike the previous Government, I want to ensure that algorithms are published by Departments so that everybody can understand what it is that we are doing in their interests to benefit the country, because without understanding it, people will not feel safe with it being used. I will not tolerate that because we need to ensure that we as a country use this technology for the public good.

[Mr Mark Sewards (Leeds South West and Morley) (Lab)]

I welcome the Secretary of State’s leadership on AI—it is good to have someone taking this seriously. As somebody who was teaching a year ago, I am always interested in the application of AI in the classroom, especially when it comes to reducing teacher workload so they can spend more face-to-face time with their students. I am also interested in the application of AI in creating personalised learning resources for students based on their ability. Will the Secretary of State speak about that in more detail and potentially tell us about the timelines for rolling this out in our schools?

[Peter Kyle]

I am grateful that my hon. Friend has brought his experience from the classroom into the Chamber and into debates such as this one. As somebody who has experienced neurological challenges and barriers to learning as a child and through life, one of the most exciting parts of the digital and AI revolution that is unfolding is that, if we harness this correctly, a single classroom can exist both for students who have barriers to learning and for others who have specific talents that need stretching and challenging. Of course, there is no replacement for great teaching and the people and teachers in the classroom working with students, but with the assistance of digital technology and with what AI can do to provide a granular, detailed and tailored experience for students, that is something we are working on. My Department is working with the Department for Education so we can get this technology into classrooms and, as he says, for the benefit of all students right around the United Kingdom.

[Joe Powell (Kensington and Bayswater) (Lab)]

On Friday, I visited a major National Grid upgrade project in my constituency, which will connect to a huge new data centre in north-west London. The Secretary of State has talked about the additional energy infrastructure needed, but how will he work to speed up the planning system, including taking on those who seek to block this critical new infrastructure, so that we can harness the benefits?

[Peter Kyle]

We certainly saved a great question for last. We are absolutely determined about the plan we have put forward today, and let me express my gratitude one final time to Matt Clifford for doing the report. To fully embrace this technology, we need to get a lot right. We need to get regulation and planning right. We are already undertaking a huge reform of our planning system—the biggest for well over a generation. That will include the ability for Government locally and centrally to ensure that investment into industries and infrastructure of the future is expedited and that it faces no barriers, so it can be put to the common good for our country and its citizens without delay.

Artificial Intelligence Opportunities Action Plan

Peter Kyle Excerpts

Monday 13th January 2025 Written Statements

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

In July, I commissioned Matt Clifford CBE, tech entrepreneur and chair of the Advanced Research and Invention Agency, to develop an AI opportunities action plan. Today, that plan, and the Government’s response to it, have been published.

This Government promised to deliver change and improve lives in every part of the country; to grow a faster, fairer economy with good jobs that put more money in working people’s pockets; and to rebuild our crumbling public services and provide our citizens with the world-class healthcare and education they deserve.

That clear sense of purpose has fundamentally shaped our approach to AI. This is no longer a technology that belongs in a distant future—the AI revolution is already happening, and it will define the decade to come. We must decide whether we sit back and wait for this technology to shape our lives or get ahead and ensure that British people are the first to benefit.

This Government are hugely optimistic about AI’s potential to change our country for the better and deliver a decade of national renewal. AI is at the heart of our plan for change. From building an NHS fit for the future and making Britain a clean energy superpower, to taking back our streets and bringing down the barriers to opportunity for all, none of our national missions are possible without embracing the power of technology. Most importantly, an AI-powered economy will improve living standards for working people across the country.

We have led the world on AI safety. Now, we have a responsibility to capitalise on our unique position to provide global leadership in seizing the opportunities of AI. The AI opportunities action plan proposes 50 recommendations reflecting the scale and pace required to strengthen the foundations of the UK’s AI ecosystem, deliver real change for citizens through using AI in the public and private sectors, and securing our future by ensuring the UK is a first mover on AI.

In our response, we set out how we intend to shape the application of AI within a modern social market economy, based on the principles of shared economic prosperity, improved public services and increased personal opportunities. To deliver the plan’s recommendations, we are taking decisive action to deliver enduring change:

Creating AI growth zones, areas with enhanced access to power and streamlined planning approvals, to establish new public-private partnerships and accelerate the development of AI infrastructure on UK soil.

Expanding our sovereign AI compute capacity by at least 20 times by 2030, ensuring that the UK can keep pace as our compute needs grow.

Creating a new AI Energy Council, bringing together industry leaders from the energy and AI sectors, co-chaired by me and the Secretary of State for Energy Security and Net Zero. The Energy Council will provide expert insight on the energy needs of AI, alongside opportunities to accelerate investment in the develop of renewable and innovative energy solutions to meet those needs.

Launching a new dedicated team with a mandate to strengthen the UK’s sovereign AI capabilities by supporting our national champions at the frontier of AI. Operating with the agility of the vaccines task force, the team will partner with AI companies and use every tool at Government’s disposal to ensure they have access to the compute, data and talent they need to succeed.

The action plan shows us that we have a narrow window to secure our stake in the future of AI, and deliver a better future for British people. We must take decisive action before it is too late. Today, we have set out our plan to secure our global leadership in the AI revolution and fulfil our fundamental promise to the British people. This is a top priority for the Prime Minister. Working right across Government, we will use AI to grow our economy, rebuild our broken public services and improve living standards for working people. Together, we will ensure that British citizens are the first to benefit from the extraordinary opportunities this technology can offer.

[HCWS360]

Oral Answers to Questions

Peter Kyle Excerpts

Wednesday 8th January 2025 Commons Chamber

[Jack Rankin (Windsor) (Con)]

1. If he will make it his policy to establish an academy for mathematical sciences.

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

The Government are committed to increasing the research and development allocation to a record £20.4 billion in 2024-25. Lord Vallance continues to meet mathematical science representatives to determine how best to support the sector. The Government are supporting the mathematical science sector in ways that best deliver for the taxpayer, without the time and expense required to set up a new organisation.

[Jack Rankin]

In the last financial year, the Department underspent by nearly £600 million. The proposed national maths academy was due to cost just £6 million—1% of that total. People are disappointed by this cancellation. Can the Secretary of State explain whether he cancelled the academy because he does not value the role of our national academies, or because he does not think mathematical sciences are important?

[Peter Kyle]

I have just explained all of the ways we are helping, assisting, supporting and driving mathematical science. The hon. Member has just listed all of the ways his party has failed that sector by underspending in many parts of Government and failing to commit the spending to the project that he is now calling on this Government to support.

[Steve Race (Exeter) (Lab)]

Does the Secretary of State agree that the recent announcement of new funding for research and development in the Budget gives the sector really good clarity about investment across the coming years and about the way forward that this Government wish to take?

[Peter Kyle]

I am grateful for my hon. Friend’s question. He is quite right to highlight that, finally, science and technology in this country has a Government on its side and putting their money where their mouth is.

--- Later in debate ---

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

My Department is working incredibly closely with the Department of Health and Social Care, and the Secretary of State for Health and Social Care and I are joined at the hip on these issues. That includes unprecedented investment in research and development to understand how better to diagnose disease. There is co-investment in initiatives such as health innovation networks, which have enabled 1.2 million patients to access proven innovations, and the digital centre of Government, which we have created, is partnering closely with the NHS to improve the deployment and innovation of technology.

[Josh Newbury]

I thank the Secretary of State for his response. My constituency of Cannock Chase has wide health inequalities, and particularly high levels of respiratory illness and bladder and brain cancer. In some parts of the country, NHS trusts are rapidly speeding up diagnostic waiting times by using highly accurate AI models, with the results checked by human clinicians. Will the Secretary of State confirm that the Government are supporting such safe tech innovations to help fulfil our mission to build an NHS fit for the future?

[Peter Kyle]

I can indeed commit to that. The Government see the embrace of proven technologies and innovation as fundamental to the future survival of the NHS. I was incredibly happy to see that last autumn, the Royal Wolverhampton NHS trust began enrolling patients in a global-first trial of completely personalised cancer vaccines, as part of a £1 billion investment negotiated by my Department. That shows the way forward and how co-operation between Departments will deliver for patients and public service users across the country.

[Robin Swann (South Antrim) (UUP)]

Early diagnosis saves lives. Randox in my constituency runs a number of NHS health checks from the Isle of Wight through to Lanarkshire. Will the Secretary of State encourage greater use of those checks, and will he visit Randox with me to see how we can further advance that technology?

[Peter Kyle]

I confirm that I have been working with the Health Secretary—indeed, we recently visited St Tommy’s across the road from here to see how new technology is being used in diagnostics. It is increasing the number of scans and improving the quality of those scans to diagnose disease early and prevent it from having the worst outcome. That is being rolled out across the country, and I am working closely with the Health Secretary to ensure that such innovations are put to good use for the country.

[Mr Speaker]

I call the Chair of the Science, Innovation and Technology Committee.

[Chi Onwurah (Newcastle upon Tyne Central and West) (Lab)]

Last month, the Select Committee brought festive cheer by hearing how British science is advancing the eradication of diseases such as cervical cancer, HIV/AIDS and malaria, through innovative and exciting new treatments and diagnostics. We also heard about the challenges of driving innovation through the NHS. Newcastle company AMLo Biosciences said that adoption is much quicker in the US, and others criticised bureaucratic procurement processes and a culture of inertia. Successive Governments have struggled with this challenge, so what specific steps is the Secretary of State taking with the Health Secretary to ensure that British patients benefit from innovation?

[Peter Kyle]

I am grateful for that question and for the work that my hon. Friend’s Committee is doing to highlight the incredibly important challenge that we face as a Government and a country. For the first time, the Health Secretary has adopted the spreading of innovation through the NHS as a personal mission as part of the role of the Secretary of State, and we co-chair the Office for Life Sciences. Together, our two Departments are not only seeking to harness the power of technology, but working together, under the leadership of the Health Secretary, to drive that innovation. Such innovation cannot be locked up in one innovative health trust; it must be put to use across the NHS for every patient from every part of the United Kingdom.

[Jim Shannon (Strangford) (DUP)]

What progress has been made on using AI algorithms to analyse medical images of things such as tumours, fractures or other medical conditions? That was a pithy question, I think, Mr Speaker.

[Peter Kyle]

I am grateful for the hon. Member’s question. I have visited Huddersfield hospital, which is one of the first hospitals to fully integrate AI in its radiotherapy and scanning work. Having stood there and seen its power for early diagnosis through its ability to detect patterns at an incredibly early stage, I am left in no doubt that, had my mother been scanned at that hospital, she would still be alive today. She was scanned three times, but the progress of her lung cancer was missed and she died several weeks after collapsing, with it not having been detected. This is the power of technology. AI is a human power that will transform lives and we are determined to ensure—

[Mr Speaker]

Order. Secretary of State, please. I am sure you want me to get to the other questions. I call the Liberal Democrat spokesperson.

[Victoria Collins (Harpenden and Berkhamsted) (LD)]

Many of the companies I have spoken to who are supporting technological innovation in the NHS and beyond talk about their frustration at the comparative difficulty of getting funding in the UK and say that the British Business Bank could do much more to de-risk investment and unlock innovation. What are the Government doing to reform funding and provide an oasis in what has become known as the funding valley of death?

[Peter Kyle]

The first thing that we have done is increase to record levels overall the Government’s investment in R&D. Pioneering work is also going on through Innovate UK, the Advanced Research and Invention Agency and the different funding bodies that are available to take different levels of risk when it comes to supporting, creating and upscaling innovation. The work that the Chancellor is doing to reform our pension system will unlock capital, because fundamentally we must get more domestic capital into the venture capital community so that we can get domestic innovation supported by domestic capital to upscale and solve the challenges that the hon. Member talked about.

--- Later in debate ---

[Rebecca Paul (Reigate) (Con)]

5. What assessment he has made of the potential impact of increases in employer national insurance contributions on the science and technology sectors.

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

The Government have increased investment in R&D to record levels. We have also repaired the public finances, including the black hole left by the previous Administration. We have done so by protecting the smallest businesses through the impact of doubling the employment allowance to £10,500, meaning that 865,000 employers will pay nothing in additional tax.

[Rebecca Paul]

I thank the Secretary of State for his response. However, universities, which are at the heart of the UK’s research ecosystem, face an additional £372 million in annual costs due to the rise in employer national insurance. That threatens their ability to fund cutting-edge research, recruit top talent and support early career researchers. Does he recognise the detrimental impact that will have on research in this country? Will he explore measures to ensure that our global competitiveness in science and innovation is not undermined?

[Peter Kyle]

We have found ways to get new investment into universities, which we are putting on a solid financial footing. This is just the start. We always knew that we could not fix all the problems that we inherited from that last Administration in six months, but we are finding ways to take that great start forward to get new investment into universities. I reassure the House that the war on universities by that Administration has ended.

[Mr Speaker]

I call the shadow Secretary of State.

[Alan Mak (Havant) (Con)]

Thank you, Mr Speaker.

“Companies like ours will be less incentivised to grow”.

That is the conclusion of Paul Taylor, founder of British tech unicorn Thought Machine, which employs more than 500 people. Britain is now missing out on new jobs and investment as a direct result of Labour’s national insurance jobs tax. When the Chancellor started punishing our tech sector, the Secretary of State failed to stand up to her. Why?

[Peter Kyle]

We have put the public finances on a solid footing. Our economy is now stable in a way that has not been the case for 14 years. The Conservatives want all the benefits of the last Budget without saying how they will pay for any of it. Until they do, they will not be taken seriously by anyone, including the business that the hon. Gentleman referenced.

[Alan Mak]

The truth is that the Labour Government are failing our tech workers, because they do not care about our tech sector. Last September, Paul said that he was very keen to list Thought Machine in London instead of New York, and one of his preconditions before listing is being able to grow the business as much as possible. Why did the Secretary of State allow the Chancellor to make growth harder for Britain’s tech sector at the Budget?

[Peter Kyle]

I think the hon. Gentleman missed the investment summit that the Government held just before Christmas, at which a record £60 billion was invested into this country, £24 billion of which was AI-related. That is almost as much going directly into AI as was committed in total at the previous Government’s investment summit. This Government are unlocking investment; the previous Administration wrecked our economy and public services, and failed to secure faith in our economy for foreign companies to invest in this country.

[Leigh Ingham (Stafford) (Lab)]

6. What steps his Department is taking to increase levels of innovation in Staffordshire.

--- Later in debate ---

[Zöe Franklin (Guildford) (LD)]

T1. If he will make a statement on his departmental responsibilities.

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

We have seen fear and lies spread about life in Britain, with those who have done little or nothing to combat child sexual abuse stretching every sinew to jump on the bandwagon. This Government are committed to justice for the victims and punishment for the perpetrators of abuse wherever it happens and whoever commits it, and I pay tribute to the work of the Prime Minister and, in particular, the Under-Secretary of State for the Home Department, my hon. Friend the Member for Birmingham Yardley (Jess Phillips), in that regard. The illegal content codes that Ofcom set out last month are the single biggest change to online safety for a generation.

[Zöe Franklin]

In 2023, the Lords Communications and Digital Committee found that 1.7 million households were without internet. Will the Secretary of State outline how the Government are working to ensure that no one is left behind by the forthcoming switchover to internet protocol television?

[Peter Kyle]

The hon. Lady asks an important question. Broadcast TV is legally protected until 2034. This Government are committed to ensuring audiences can access television in a way that suits them. Too many people are excluded from digital activity because they lack the basic skills. In the not-too-distant future, I will be launching the digital inclusion plan. I know that the hon. Lady takes cross-party working very seriously, so I hope she will meet me so I can brief her on that work and involve her ideas as we develop it.

[Baggy Shanker (Derby South) (Lab/Co-op)]

T2. I refer the House to my entry in the Register of Members’ Financial Interests. Globally, billions of pounds of investment are flowing into companies that are creating new technologies to power data centres, and communities across the UK should be sharing the opportunity of well-paid, skilled jobs that that investment offers. In Derby, Rolls-Royce is a world leader in the development of small modular reactors. Does the Secretary of State agree that Rolls-Royce shows British innovation at its strongest, and would be a dynamic partner for any technology company wishing to invest in the future?

[Peter Kyle]

I agree, of course. Technological innovation will be key to the move to net zero, and the UK will be at the forefront of that. SMRs are particularly exciting. I have met Rolls-Royce, which has a great advocate in my hon. Friend. I look forward to hearing more from him and seeing how we can support this exciting technology into the future.

[Blake Stephenson (Mid Bedfordshire) (Con)]

T3. What steps are the Government taking to support pioneering British companies, such as Cranfield Aerospace Solutions in Mid Bedfordshire, in their pursuit of hydrogen-powered flight? How will the industrial strategy ensure that the UK remains a global leader in sustainable aviation technology?

[Peter Kyle]

The hon. Gentleman raises a very important point, one that the Government are committed to. That is why we increased research and development spending to the highest of any Government in this country. It will have a direct impact on the issues he raises.

[Mr Speaker]

Before we begin PMQs, I am delighted to welcome to the Gallery the Speaker of the Lok Sabha of India.

Online Safety Act 2023: Implementation

Peter Kyle Excerpts

Monday 16th December 2024 Written Statements

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

Today, the Government have reached two significant milestones in the implementation of the Online Safety Act (“the Act”), marking an important step forward in creating a safer online environment for all UK citizens. Today, I am laying in Parliament Ofcom’s first draft codes of practice for the illegal content duties and draft regulations setting out the threshold conditions for category 1, 2A and 2B services under the Act.



Ofcom’s draft illegal content duties codes of practice:

The illegal content duties apply to all regulated user-to-user and search services under the Act, no matter their size or reach. These include new duties to have systems and processes in place to tackle illegal content and activity. Ofcom, as the independent regulator for this regime, is required to set out measures in codes of practice that providers can take to fulfil these statutory duties. Ofcom has now submitted to me the drafts of its first codes of practice for the illegal content duties to lay these in Parliament for scrutiny. If neither House objects to the draft codes, Ofcom must issue the codes and the illegal content duties will come into force 21 calendar days later. Once the codes have come into force, the statutory safety duties will begin to apply to service providers, and Ofcom will be able to enforce against non-compliance.

Ofcom has also published its guidance on how providers should carry out risk assessments for illegal content and activity. Providers now have three months to complete their illegal content risk assessment.

The completion of the risk assessments should coincide with the codes of practice coming into force if they pass the statutory laying period. Ofcom’s codes will set out steps service providers can take to address identified risks. The draft codes will drive significant improvements in online safety in several areas. They will ensure service providers put in place effective systems and processes to take down illegal content, including for content that amounts to terrorism, child sexual abuse material (CSAM), public order offences, assisting suicide, intimate image abuse content and other offences. They will make it materially harder for strangers to contact children online, to protect children from grooming. They will significantly expand the number of services that use automated tools to detect CSAM. They will make it significantly easier for the police and the Financial Conduct Authority (FCA) to report fraud and scams to online service providers. And they will make it easier for users to report potentially illegal content.

The draft codes are a vital step in implementing the new regime. Ofcom fully intends to build on these foundations and has announced plans to launch a consultation in spring 2025 on additional measures for the codes. This includes consulting on how automated tools can be used to proactively detect illegal content, including the content most harmful to children, going beyond the automated detection measures that Ofcom have already included. Bringing in the codes will be a key milestone in creating a safer online environment for UK citizens as the duties begin to apply and become enforceable.



Categorisation thresholds:

Services which are ‘categorised’ under the Act will have additional duties placed on them. This is on top of the duties which all regulated user-to-user and search services must comply with to tackle illegal content and, where relevant, to protect children from content that is legal but nonetheless harmful to them. The additional duties will vary depending on whether a service is designated category 1—large user-to-user services—category 2A— large search services—or category 2B—smaller categorised user-to-user services.

In making these regulations, I have considered factors as required by the Act. Amendments made during the passage of the Act, changed the consideration for category 1 from the “level of risk of harm to adults from priority content that is harmful to adults disseminated by means of the service” to “how easily, quickly and widely regulated user-generated content is disseminated by means of the service.” This was a significant change and, while I understand that this approach has its critics who argue that the risk of harm is the more significant factor, this is the position under the Act.

Ofcom advice and the Secretary of State’s (Peter Kyle) decision on threshold conditions

The Act required Ofcom to carry out research within six months of Royal Assent, and to then provide the Secretary of State with advice on the threshold conditions for each of the three categories. This research included a call for evidence so that stakeholder feedback could be considered in Ofcom’s advice.

After considering Ofcom’s advice and subsequent clarificatory information in public letters, I have decided to set threshold conditions for categorisation in accordance with Ofcom’s recommendations. I am satisfied that Ofcom’s advice, which was published in March, is the culmination of an objective, evidence-based process. I have taken this decision in line with the factors set out in schedule 11 of the Act. I have been very clear to date, and want to reiterate, that my priority is the swift implementation of the Act’s duties to create a safer online environment for everyone. I am open to further research in the future and to update thresholds in force if necessary.

I appreciate that there may be some concerns that, at this time, threshold conditions have not been set to capture so-called “small but risky” services by reference to certain functionalities and characteristics or factors. My decision to proceed with the thresholds recommended by Ofcom, rather than to take the approach of discounting user number thresholds, reflects the fact that any threshold condition created by the Government should take into account the factors as set out in the Act, be evidence-based and avoid the risk of unintended consequences.

I also welcome Ofcom’s statement that it is keenly aware that the smallest online services can represent a significant risk to UK citizens, that it has established a dedicated “small but risky” supervision taskforce and that it will use the tools available under the Act to identify, manage and enforce against such services where there is a failure to comply with the duties that all regulated services will be subject to. This includes enforcement powers: to impose penalties on service providers of up to 10% of qualifying worldwide revenue or £18 million—whichever is greater; to require services to take remedial action; and in certain cases, to apply to court for business disruption measures to be taken against service providers.

As Secretary of State, my priority is timely implementation of the Act to ensure that the additional duties are enforceable as soon as possible. Ofcom’s recently updated implementation roadmap sets out the expectation that it aims to publish the register of categorised services in summer 2025 and will launch transparency reporting within a few weeks of publication of the register. This timeline is contingent on the regulations for categorisation thresholds being approved by Parliament without delay.

Proportionality

Many of the additional duties for categorised services have proportionality as a relevant consideration. For example, in determining what is proportionate for the user empowerment content duty, the findings of the most recent user empowerment assessment are relevant which includes the incidence of relevant content on the service, in addition to the size and capacity of a provider. When producing its guidance and codes of practice Ofcom will have regard to the principle of proportionality. In line with Ofcom’s recommendations, we have made it clear in the regulations that services are not captured under category 1 if they use a content recommender system which only recommends to a user their own content.

Threshold conditions

Following Ofcom’s advice and having taken into account matters as required by the Act, I have therefore today laid draft regulations which are intended to give effect to the following threshold conditions for each category of service:

The Category 1 threshold conditions are met by a regulated user-to-user service where, in respect of the user-to-user part of that service, it:

has an average number of monthly active United Kingdom users that exceeds 34 million and uses a content recommender system, OR

has an average number of monthly active United Kingdom users that exceeds 7 million, uses a content recommender system and provides a functionality for users to forward or share regulated user-generated content on the service with other users of that service.

The Category 2A threshold conditions are met by a search engine of a regulated search service or a combined service where it:

has an average number of monthly active United Kingdom users that exceeds 7 million, and

is not a vertical search engine—a search engine which only enables a user to search selected websites or databases in relation to a specific topic, theme or genre of search content.

The Category 2B threshold conditions are met by a regulated user-to-user service where, in respect of the user-to-user part of that service, it:

has an average number of monthly active United Kingdom users that exceeds 3 million and provides a functionality for users to send direct messages to other users of the same service.

[HCWS312]

Oral Answers to Questions

Peter Kyle Excerpts

Wednesday 20th November 2024 Commons Chamber

[Tony Vaughan (Folkestone and Hythe) (Lab)]

6. If he will take steps to support the creation of a global network of scientific research on frontier artificial intelligence safety.

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

The UK is a founding member of the AI Safety Institute international network. The network convenes for the first time today in San Francisco.

[Tony Vaughan]

The UK is a global leader in AI development, which brings many opportunities, but we know that the risks associated with AI can be managed only by global co-operation. What steps is the Department taking to ensure that the UK works with other main leaders in AI development, including the US and China, to ensure that the most advanced frontier AI models are safe for global consumers?

[Peter Kyle]

My hon. Friend is completely right to say that safety has to be there from the outset. We want our country to safely explore all the opportunities that AI offers, but it can do so only if people are reassured that safety is there from the outset. The UK safety institute is at the forefront of this. It is the first safety institute, and we are at the forefront of delivering international as well as domestic safety. We are currently working on an international review of the science of AI safety, which draws on the expertise of 30 countries.

[Mr Speaker]

I call Steve Darling.

--- Later in debate ---

[Chi Onwurah (Newcastle upon Tyne Central and West) (Lab)]

My hon. Friend the Member for Folkestone and Hythe (Tony Vaughan) rightly raises the need for research into frontier AI safety, and I welcome the Government’s commitment to protecting the public from future AI risks. But AI affects all of our lives already. Today, my Committee launches an inquiry into algorithms, AI and their role in spreading online harm, as we saw in the terrible riots over the summer. As we build our evidence, how is the Minister building the evidence base on AI online harms and their social impact right now?

[Peter Kyle]

I am extremely grateful to the Chair of the Select Committee for choosing this as her first inquiry. It is an incredibly important area. This Government are committed to the algorithmic transparency recording standard. The previous Government reneged on their commitment to having individual Departments releasing their standard statement each year. This Government are committing to doing so again and will remain committed to reinforcing the fact that algorithms are there to serve people and not the other way round.

[Jim Shannon (Strangford) (DUP)]

There are many firms in Northern Ireland that have the capability and the experience to offer some advice on getting scientific research on AI safety. I know that the Minister is very interested in Northern Ireland, so has he had an opportunity to speak to companies in Northern Ireland so that we can play our part in how we take this matter forward?

[Peter Kyle]

I am grateful to the hon. Gentleman for acknowledging my interest in Northern Ireland, which I have already visited since being appointed in order to meet some of the pioneering tech companies there. I will stay committed to ensuring that the Government recognise the talent across Northern Ireland, harnessing it for not just the domestic good but the global good.

[Alex Baker (Aldershot) (Lab)]

7. What comparative assessment he has made of the effectiveness of the roll-out of 5G in (a) the UK and (b) other countries.

--- Later in debate ---

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

To protect people online, today I became the first Secretary of State to exercise the power to set out my strategic online safety proposals for Ofcom to consider. From increasing transparency to baking safety into social media platforms from the outset, those priorities will support Government in monitoring progress on acting where our laws are coming up short. I have also launched a new research project to explore the impact of social media on young people’s wellbeing and mental health.

[Dr Cooper]

Each year millions of patients in England interact with two or more different hospital trusts. Most of the trusts that commonly see the same patients do not use the same record systems. What steps is the Minister taking with Cabinet colleagues to utilise the Centre for Improving Data Collaboration and other available technology to improve data sharing across NHS hospital trusts?

[Peter Kyle]

What a pleasure it is to speak from the Dispatch Box to another Labour MP from Sussex.

That issue is a Department of Health and Social Care responsibility but, on its behalf, the Data (Use and Access) Bill will include a requirement that IT providers in the NHS have to meet information standards. That will deliver the interoperability needed so that data can be shared across the NHS, often for the very first time.

[Mr Speaker]

I call the shadow Minister.

[Alan Mak (Havant) (Con)]

On the Opposition Benches we are proud that it was the last Conservative Government who created the Department for Science, Innovation and Technology. I am glad that Labour is following our agenda, and I look forward to my exchanges with the Secretary of State.

Under the last Conservative Government, Britain was home to more billion dollar tech start-ups than France and Germany combined, but last month an industry survey found that nearly 90% of tech founders would consider leaving Britain if Labour raised taxes on tech businesses. Yesterday, Labour U-turned on policy in Scotland, so today will the Secretary of State commit to reversing Labour’s jobs tax, which damages tech businesses across the entire country?

[Peter Kyle]

I welcome the hon. Gentleman to his post. We worked together on the all-party parliamentary group on the fourth industrial revolution, which he chaired, and I look forward to having a constructive relationship going forward.

The hon. Gentleman mentioned the last Government. Given the way the Conservatives are going, that will have been their last Government. To be honest, the circumstances that businesses, large and small, operating in the tech landscape have asked for are a smooth regulatory process—we have already delivered regulatory reform; reform to planning—we have delivered reform to the planning system; a stable financial settlement—we have delivered that with a Budget for—

[Mr Speaker]

Order. Please, this is topicals. We will see a very good example from the shadow Secretary of State.

[Alan Mak]

I thank the Secretary of State for his kind words, but he has punished labour: figures from his own Department show that workers will be losing out by nearly £800 each per year as a result of Labour’s Budget. Will he stand up to the Chancellor and oppose any further tax rises on Britain’s hard-working tech sector?

[Peter Kyle]

The Budget gave a pay rise to working people in this country and set the conditions for a stable economy, fixing the black hole left in our economy by the mismanagement of the last Government.

[James Asser (West Ham and Beckton) (Lab)]

T4.   Last week I was at London City airport’s STEM event, which brought together 500 students from secondary schools across east London. Does the Secretary of State agree that if we are to see thriving STEM industries, we need more engagement events like that?

[Peter Kyle]

Outside the classroom, the CyberFirst programme has engaged 250,000 young people across the UK. Those are the first steps; this Government will be going further.

[Bob Blackman (Harrow East) (Con)]

T2. Recently, I hosted a briefing event for People for the Ethical Treatment of Animals, where strong evidence was presented that almost all drug research and research into other products could be done without abusing animals. Will the Secretary of State take the opportunity to ensure that we no longer experiment on animals and that we use other methods to get products into service?

[Peter Kyle]

I am grateful for the hon. Gentleman’s question, because the first job I ever had was at the Body Shop working for Anita Roddick, and I joined her campaign against animal testing for cosmetics. She would be proud to see me at the Dispatch Box engaging in this conversation. Labour made a manifesto commitment to phase out animal testing in the long term. That is something we are committed to and something we are taking steps towards.

[Ian Lavery (Blyth and Ashington) (Lab)]

T5. The peddling of fake news and disinformation on social media platforms is fuelling extremism. It also impacts heavily on our democratic processes in the UK. What safeguards are the Government putting in place to combat this really serious issue?

[Peter Kyle]

I am extremely grateful to my hon. Friend for raising one of the most serious issues of our time. The Online Safety Act 2023 requires providers, as part of their risk assessment, to consider specifically how algorithms will impact a user’s exposure to illegal content and children’s exposure to harmful content. I have introduced new measures to ensure that children are kept safe, and today I issued a statement of strategic priority to Ofcom to insist that it continues to do so in future.

[David Davis (Goole and Pocklington) (Con)]

T3.   Last year, nearly 50 British universities were identified as having research ties with what are deemed very high-risk Chinese institutions. Subsequently, the intelligence services briefed 24 universities on resisting the infiltration attempts of foreign agencies, but the Intelligence and Security Committee report states that it is “highly likely” that joint UK-China research projects are used for military purposes. What is the Department doing to protect our research and our security?

[Peter Kyle]

The Government are working closely with individual universities, the university sector and our intelligence community to ensure that our research is not only world class but safe and secure.

The Prime Minister was asked—

Oral Answers to Questions

Peter Kyle Excerpts

Wednesday 16th October 2024 Commons Chamber

[Emma Foody (Cramlington and Killingworth) (Lab/Co-op)]

1. What progress he has made on improving broadband connectivity.

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

More than 85% of UK premises can now access a gigabit-capable broadband connection. Through Project Gigabit, more than a dozen suppliers are delivering contracts to bring fast, reliable broadband to more than 1 million more homes and businesses across the country. My team are making good progress and pushing forward with further plans to improve digital connectivity in hard-to-reach communities that would otherwise be missing out.

[Emma Foody]

Access to reliable broadband is essential to residents across my constituency, but for those who fall just outside commercial full-fibre broadband deployment areas, it remains a real issue that impacts their ability to work and study. What further action can the Government take to ensure that residents falling just outside current roll-out areas are not left behind?

[Peter Kyle]

My hon. Friend is a good advocate for her new constituency. I want everyone to understand that this new Department is not far removed from people’s lives, because we represent areas of technology all the way from space to digital infrastructure. We realise that every aspect of the Department’s work is connected to human beings trying to move forward and get on in life, and nowhere is that more important than in their ability to express their lives online. I can reassure her that we are ensuring that the market for digital provision is a functioning market that delivers for her constituents. In areas where the market is not as full as we would like, market providers need to work together, to ensure that all residents across her constituency have the connectivity they deserve.

[Helen Whately (Faversham and Mid Kent) (Con)]

My constituents in Throwley and Wichling have been battling for high-speed broadband. We thought we had it over the line, but in a recent telephone conversation Building Digital UK said that it was still to be confirmed. Would the Secretary of State be willing to meet me to discuss how we can ensure that those communities do not miss out again?

[Hon. Members]

Go on!

[Peter Kyle]

I can hear encouraging sounds from the hon. Lady’s colleagues asking for that meeting. Let me say at the outset that this Department wants to engage with everyone—[Hon. Members: “Hear, hear.”] I haven’t finished yet. We want to ensure that everyone in every constituency has full access to the connectivity that they need. With that in mind, the Minister responsible for the roll-out of these services will meet officials to ensure that the hon. Lady is given the attention that her constituents deserve.

[Mr Speaker]

I call the Liberal Democrat spokesperson.

[Victoria Collins (Harpenden and Berkhamsted) (LD)]

People and businesses in my constituency, like many elsewhere, are plagued with patchy access. Andy from Wheathampstead has found that the only way he can move on to working from home and running a business is to have expensive satellite broadband. Will the Secretary of State commit to ensuring that every home and business has access to gigabit broadband in rural and remote communities, and will he also ensure that there are bespoke solutions so that no home or business is left out?

[Peter Kyle]

Our manifesto commitment is to get to 99% coverage by 2030, and that is something we are determined to do. The programme run by BDUK for shared rural networks is technology-neutral. Along with the Minister responsible, I am encouraging BDUK as fulsomely as I can to ensure that every single technology emerging, as well as existing, is put to good use in that endeavour.

[Kevin Bonavia (Stevenage) (Lab)]

2. What steps he is taking with Cabinet colleagues to support the life sciences sector in Stevenage constituency.

--- Later in debate ---

[Mark Ferguson (Gateshead Central and Whickham) (Lab)]

5. What steps he is taking to help improve domestic research and development capabilities.

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

The UK’s R&D system is a central strength and vital for the future prosperity and wellbeing of our citizens. We are recognised for the strengths of our universities system and research base, and we are investing through UK Research and Innovation to continuously improve our R&D capabilities. In July we launched five new quantum technology hubs, which are delivered by UKRI and backed by over £100 million-worth of Government funding. This will ensure that the British people benefit from the potential of quantum technologies in a range of areas, from healthcare and computing to national security and critical infra- structure alike.

[Mark Ferguson]

Turbo Power Systems in my constituency is a great example of a global company built on research and development but with proud local roots. Would the Secretary of State be happy to visit it, as I have, to see its fantastic work?

[Peter Kyle]

Of course, I look forward to visiting Turbo Power Systems the next time I am in the region and seeing the amazing work it does. It is contributing to one of the key missions of this Government, which is to get to clean superpower status by 2030, and I look forward to seeing what it is doing to make that a reality.

[Tom Gordon (Harrogate and Knaresborough) (LD)]

I recently visited Yorkshire Cancer Research in my constituency. It is coming up to 100 years since it was founded, and it has created amazing drugs, such as tamoxifen, to extend people’s lives and help them fight cancer. We know that less than 5% of medical research investment is spent on R&D in Yorkshire. Given that we have 8% of the population, what more can the Secretary of State do to ensure that R&D opportunity investment is spread across our country?

[Peter Kyle]

It is incredibly important for this Government that we invest across the whole country, which is why we have invested £118 million in healthcare research and partnership hubs that are outside London and across the United Kingdom. I hope that this benefits the hon. Gentleman’s area too.

[Mr Speaker]

I call the Chair of the Science, Innovation and Technology Committee.

[Chi Onwurah (Newcastle upon Tyne Central and West) (Lab)]

The whole House recognises—certainly, the Government’s industrial strategy does—that in order to drive growth we need innovation clusters across the country. The last Government committed to increasing R&D spend outside of the greater south-east by 40% by 2030 as part of the failed levelling-up strategy. Will the Secretary of State say whether he intends to maintain that target, and/or what steps he will take to ensure that funding is available to drive regional growth and innovation?

[Peter Kyle]

I am extremely grateful to my hon. Friend for her question, and I congratulate her, on behalf the whole House, on her election as Chair of the Select Committee—I look forward to appearing before it soon and regularly thereafter. She raises an incredibly important point. I can say that this Government are committed to working with local and regional mayors to ensure that local growth plans and the partnerships with UKRI will benefit all regions. These include a £100 million innovation accelerator pilot and £80 million in launchpad programmes, all of which will meet the needs that she outlines.

[Jim Shannon (Strangford) (DUP)]

The Secretary of State has an interest in Northern Ireland, so can I ask him whether he holds statistics on how much research and development tax relief support has been issued to Northern Ireland in the last 12 months to help support science and technology? If he does not have the figures today, I would be happy for him to send them to me.

[Peter Kyle]

As always, I am grateful to hear from the hon. Gentleman. I will be in touch with any specifics that I can follow up with, but we are a Government committed to Northern Ireland, which I believe he will have seen from day one of this Labour Government back in July. I can also show that there have been great advancements in investment in Northern Ireland, which is why Northern Ireland has the highest coverage rates for fast fibre-optic broadband of any part of the United Kingdom. I want to be a champion for Northern Ireland, and I visited recently to ensure that everybody in the science and technology community there realises that this is a Government who are on their side.

[Mr Speaker]

I call the shadow Minister.

[Saqib Bhatti (Meriden and Solihull East) (Con)]

The Secretary of State, in one of his first acts in his new role, cut £1.3 billion-worth of funding that would have been transformative for enabling cutting-edge research and development in Britain. I note that he has also ditched our ambition to turn Britain into a science and technology superpower. We set a target of £20 billion for R&D, which we met, but he has set no such target. Will he be setting a target, and can he today promise that there will be no cuts to R&D expenditure?

[Peter Kyle]

I congratulate the hon. Gentleman on his appointment to his Front-Bench role. Let us just be honest about what this Government inherited. That £20 billion black hole affects every single Department across Government. My Department inherited a situation where the previous Government—including the former Chancellor, the right hon. Member for Godalming and Ash (Jeremy Hunt), who is sitting on the Opposition Front Bench—committed at this Dispatch Box to an exascale project to which not one single penny had been committed. That was a fraud committed on the scientific community of our country by that Government, and I had to make the difficult decision to move forward—

[Mr Speaker]

Order. I think we have gone on long enough on that question.

--- Later in debate ---

[Mike Reader (Northampton South) (Lab)]

8. What steps he is taking to protect children using the Roblox platform from online predators.

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

Keeping children safe online is the priority for this Government. The Online Safety Act 2023 places strict safety duties on online platforms, such as Roblox, to protect children from being groomed by online predators. Ofcom is the regime’s regulator and, by the end of this year, it will set out steps for the platforms to take to fulfil their duties.

[Mike Reader]

One of my constituents is a volunteer moderator on the Roblox platform. His group has identified and banned over 14,000 accounts involved in child grooming, exploitation and sharing indecent images. Does the Secretary of State agree that while we drive for tech innovation and investment, we must keep online safety at the heart of our strategy?

[Peter Kyle]

I extend my deepest sympathies to those who have been affected by the crimes that my hon. Friend outlines. The Online Safety Act—and its measures that will soon come into force—is there to address that concern directly. I want these powers to be used as assertively as possible. Just today, I have heard about another story concerning Roblox. I expect that company to do better in protecting service users, particularly children, on its platform.

[Mr Speaker]

I call Ayoub Khan—not here.

[Melanie Ward (Cowdenbeath and Kirkcaldy) (Lab)]

T2. If he will make a statement on his departmental responsibilities.

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

At the international investment summit on Monday, some of the world’s biggest science and tech firms committed to investing billions of pounds in Britain, growing our economy and creating new jobs across our country.

In Rome last week, I launched the UK’s first online safety agreement with the United States. By working with our closest partner, home to the world’s biggest tech companies, we will create a safer online world for our children.

Finally, on behalf of the whole House, I congratulate Sir Demis Hassabis and Geoffrey Hinton on the Nobel prizes they won last week. Their extraordinary achievements are testament to the phenomenal level of AI talent fostered in Britain today.

[Melanie Ward]

There are numerous examples of the damage that out of control social media and mobile phone usage is doing to our young people, including in my area of Fife. The Courier newspaper has played an important role in highlighting this. Does the Secretary of State recognise the concerns that the safer phones Bill—the Protection of Children (Digital Safety and Data Protection) Bill—presented today by my hon. Friend the Member for Whitehaven and Workington (Josh MacAlister) and backed by many hon. Members across the House, seeks to address?

[Peter Kyle]

I pay tribute to The Courier for exposing some of these issues. We must keep children and vulnerable people safe when they are online. I intend to ensure that safety is baked in from the outset. When it comes to keeping children safe in this country, everything is on the table and I am open minded about how we move forward to achieve a much safer environment. Companies releasing products into our society should see that as a privilege, not a right. I have high expectations, on behalf of this country, to ensure that safety is baked in from the start.

[Mr Speaker]

I call the shadow Secretary of State.

[Andrew Griffith (Arundel and South Downs) (Con)]

Did the Secretary of State fully disclose to the Civil Service Commission the Labour links of one of the most senior civil service appointments, or the £66,000 donation he received?

[Peter Kyle]

Every donation that was made to this party in opposition has been declared in the appropriate ways. I am proud to be part of a party that raises standards in public life rather than votes to lower them. [Interruption.] I am also proud to be part of a party that comes into government and attracts talent to working for it, whereas when the Conservatives see talent, they libel it.

[Andrew Griffith]

Thanks to Whitehall Watch, we have a copy of the form. It is clear the Secretary of State failed to mention the conflicts of interest, as required by the ministerial code. In the words of the Prime Minister’s favourite pop star, some would say he is “Guilty as Sin”. Will he refer himself to the adviser on standards, or do we have to wait for the Prime Minister to finish organising VIP motorcades and do it for him?

[Peter Kyle]

There we have it—a party that attacks civil servants and the world’s greatest talent gravitating towards this party and this Government, to work for them. When he sees talent in Government, he libels it and saddles the taxpayer with the bill. This Government attract talent and I am proud of that.

[Alex Baker (Aldershot) (Lab)]

T3. The first Farnborough International Space Show will take place in my constituency in March next year. With space agencies from across the world already signed up to attend, the show will allow the UK to stand on the world stage and showcase our position as a convenor of global innovation. Will the Secretary of State and the UK Space Agency pledge their support to the show and will he join me at this inaugural event?

[Peter Kyle]

Farnborough has done an astonishing job at getting British aviation, which I have supported, into the global news. My dad served in the Fleet Air Arm back in the 1960s, and I went with him many times to Farnborough to see the planes he worked on up in the sky. As a country and a House, we should celebrate the fact that Farnborough is now moving into space. I am very grateful for what Farnborough is doing, and of course I will be there to participate in the event in any way that is meaningful.

[Rebecca Smith (South West Devon) (Con)]

T5. Building Digital UK has recently classified Devon, including rural areas such as Dartmoor national park, as type C procurement under Project Gigabit. However, there are concerns about how agile and timely its delivery will be. Will the Minister meet me to discuss the speedy roll-out of broadband in Dartmoor national park?

Regulatory Innovation Office

Peter Kyle Excerpts

Tuesday 8th October 2024 Written Statements

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

British innovators and businesses are developing world-leading products and services powered by technologies such as artificial intelligence. However, they often encounter barriers and delays from red tape when trying to get started. This is why the Government pledged in our manifesto to establish a new Regulatory Innovation Office—a priority for ensuring innovation and promoting new opportunities for technologies through focused collaboration in the regulatory environment.

The RIO will help position Britain as the best place in the world to innovate by ensuring safety, speeding up regulatory decisions and providing clear direction in line with our modern industrial strategy. Today, I am pleased to update you on the early progress we have made to establish the RIO and foster safe innovation through regulation.

We are setting up the RIO as an office within DSIT, expanding existing functions such as the Regulatory Horizons Council and introducing new programmes to match our increased ambitions to support innovation. Consistent with our mission-driven approach, the RIO will work closely with other Departments to unlock change, including the Department for Business and Trade, which will continue to oversee wider cross-cutting work on regulator performance.

The new office will have three core pillars of activity: knowledge, strategy and capability building. The knowledge pillar will enhance our understanding of regulatory barriers to innovation, drawing on the work of the Regulatory Horizons Council. To address the most critical barriers, the strategy pillar will set clear priorities for regulatory innovation, aligning with our missions and industrial strategy, while ensuring safety. Through the capability building pillar, the RIO will work with regulators to ensure they have the necessary tools to achieve our shared goals. For example, it will build on the work of the regulators’ pioneer fund to provide strategic grant funding to regulators supporting the responsible development of novel or experimental regulatory approaches and on the work of the Regulators’ Innovation Network to share skills and disseminate best practice among regulators.

The RIO’s immediate focus will be on priority areas: drones and other autonomous technology, engineering biology, space, artificial intelligence and digital in healthcare. These four areas hold significant potential to drive innovation in support of the Government’s missions, particularly our mission to grow the economy. For example, the UK drone economy is projected to be worth up to £45 billion by 2030, if fully adopted. The cross-cutting nature of these emerging technologies, which do not fit neatly into existing regulatory frameworks can mean a slower process in getting them on to the market. The new office will work closely with Departments, including the Department for Transport, the Department of Health and Social Care, and the Department for Environment Food and Rural Affairs, ensuring that while the RIO actively collaborates on addressing regulatory barriers, regulatory responsibility remains with the relevant Department. The new office will also bring regulators together and work to remove unnecessary obstacles and outdated regulations to the benefit of businesses and the public, unlocking the power of innovation from these sectors to generate tens of billions of pounds for the UK economy in the coming years.

We will also shortly be progressing a campaign to appoint a chair. The chair will offer trusted advice and challenge to both officials and regulators, helping to shape the design of the new office and supporting its successful delivery.

In the coming months, we will work in partnership with industry and regulators to address barriers in these critical sectors and unlock new opportunities.

Alongside the RIO, I am pleased to share our wider progress in supporting regulatory innovation. These advancements demonstrate how we can foster an environment where innovation thrives by adapting our regulatory approach:

We are publishing on gov.uk our response to the Regulatory Horizon Council’s quantum report, accepting 11 of the 14 recommendations (and accepting in principle the remaining 3). This will see the UK become the first nation to outline its regulatory approach to quantum technologies, providing certainty to businesses and encouraging the responsible development of the sector. A copy of this report will be placed in the Libraries of both Houses.

We are announcing the winners of the first round of the engineering biology sandbox fund. The sandbox will accelerate regulatory reforms for engineering biology-derived products and improve the quality of decision-making when assessing these products.

Working closely with the Cabinet Office, we are publishing voluntary screening guidance for the providers and users of synthetic nucleic acid. The guidance contributes to the UK’s vision of unlocking the societal and economic benefits of engineering biology research and innovation, while mitigating associated risks. The guidance keeps the UK at the forefront internationally of fostering responsible innovation in this transformative technology.

I am confident that together we can unlock Britain’s dynamism and innovation, and kick-start economic growth.

[HCWS111]

Tackling Global Challenges: R&D Programme

Peter Kyle Excerpts

Monday 7th October 2024 Written Statements

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

The Department for Science, Innovation and Technology is focused on improving people’s lives by maximising the potential of research and development, science and technology to drive economic growth and wider societal benefits. It is our ambition to accelerate innovation, investment and productivity through world-class science, research and development. In line with this goal, the UK’s association to Horizon Europe, the world’s largest internationally collaborative research programme, empowers UK innovators and scientists to collaborate with colleagues from across the EU, as well as with other associated countries.

From 2028, the 10th Research and Innovation Framework Programme will replace Horizon Europe. It will be tasked with harnessing excellence-based research and development to support delivery of European security, sustainable prosperity and competitiveness.

On 26 September, DSIT published a position paper setting out the UK Government’s views on the potential shape and direction of FP10. We have published this position paper to support the work of the EU and member states in developing an impactful programme that delivers research and development across all disciplines of the highest quality to the benefit of all participants. A copy of the position paper was deposited in the Libraries of the House of Commons and the House of Lords.

The Government want to strengthen ties with our European neighbours and explore areas where we can boost our shared prosperity and security through mutually beneficial agreements. This includes ensuring that UK scientists, innovators, businesses, and institutions can collaborate with partners across Europe and beyond.

Given current geopolitical realities, we believe now is the time to address global challenges through collective action. We believe that through genuine openness, EU member states, the UK, and other like-minded countries can pool resources to effectively tackle priorities that affect us all. This includes using the power of research to harness emerging technologies, and in turn boost productivity and competitiveness. Our clear position is for FP10 to be based on openness and excellence, and to ensure the continuation of proven instruments within Horizon Europe.

In the paper, we advocate for an FP10 which:

Maintains excellence at the very core of FP10 to harness the full potential of Europe’s research and innovation capabilities across the entire research pipeline.

Enables the equal participation of like-minded associated countries in all areas of the programme from its very inception, with barriers removed to ensure collaboration on critical technologies between like-minded partners. Maintaining the principle of openness to those who share common goals and values will support the best research and collaboration to tackle these shared challenges.

Preserves the three-pillar architecture in Horizon Europe, maintaining stable and predictable support for proven elements within Horizon Europe to continue supporting discovery research, international collaboration opportunities and applied innovation. Through a careful balance between curiosity-driven research and applied research and innovation, FP10 should remain flexible and responsive to future global challenges.

We very much welcome opportunities for future discussion with researchers, innovators, businesses, institutions, the European Commission and EU member states as FP10 develops, given our many shared priorities.

We will, of course, be interested in potentially associating to FP10, assuming it is open, relevant, and provides good value for researchers and taxpayers.

[HCWS101]

Technology in Public Services

Peter Kyle Excerpts

Monday 2nd September 2024 Commons Chamber

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

I beg to move,

That this House has considered technology in public services.

It is the first time I have had the privilege of speaking under your chairmanship, Madam Deputy Speaker, and I am grateful for it. May I start by welcoming the hon. Member for Arundel and South Downs (Andrew Griffith) to his place? I had his job, and I realise just what a privilege it is. Today, I think we have nine Members seeking to catch your eye, Madam Deputy Speaker, to make their maiden speech. In advance, I offer them my very best wishes in this nervous moment. I look forward to hearing them. I am about to perform my maiden speech as a Secretary of State, so we are all in it together.

My mum was scanned three times in 18 months because of chest pain, and each time the scan came back clear. Not one of the scans detected the disease—lung cancer—that without warning would take her away from her family. Today, it takes an artificial-intelligence-powered scanner in Huddersfield hospital just seven seconds to detect the earliest signs of lung cancer. Seven seconds is all it takes to give somebody back decades with the people they love. I firmly believe that had my mother received that kind of care, she would still be alive today. I would have celebrated her 80th birthday just this weekend gone. It is that belief in the power of technology to change our lives for the better that will guide this Government’s approach.

It is all too easy to think of technology such as AI as being impersonal, alienating or distant, but the first thing I think about is people—the teachers in our schools who will deliver a personalised lesson to every pupil and help them fulfil their potential, and the patients in our hospitals who can access lifesaving drugs for diseases that until recently were untreatable. Technologies can change our everyday lives in ways that are both ordinary and extraordinary.

[Dr Luke Evans (Hinckley and Bosworth) (Con)]

The Secretary of State is making a fine maiden speech in his start at the Dispatch Box. As a previously practising doctor, I know that one thing that could really help is using some of the AI we see coming forward in the back office. The previous Government committed to a £3.4 billion NHS productivity plan. Are the Government still committed to taking that forward, because that investment would have significant benefits for staff and patients?

[Peter Kyle]

I am grateful for that intervention and welcome the hon. Member to his place, too. The Government take extremely seriously the role that AI and digital technologies have in productivity in all public services and, as my speech unfolds, I hope that he will hear more detail about the scale of our ambition. To take just one of the schemes that we will be unfolding, the fit for the future programme—a £480 million commitment in our manifesto—will be responsible for driving innovation through the NHS, with adoption of the very latest scanning equipment as well as other equipment right across the NHS in England. Those are just some of the things that we are committed to, and I assure him that the Government are wholly committed to this agenda.

Nothing about change is inevitable. The future of technology is ours to shape, and the opportunities it offers are ours to seize. My ministerial team and I want to see a future where technology enriches the life of every single citizen and a future with safety at its foundation, because only when people are safe and feel safe can they embrace technology and the possibilities that it presents.

Today, Britain’s tech sector is showing us what that future might look like, but far too often our public services are simply stuck in the past. The contrast could not be clearer. Much of the century so far has been defined by the sheer speed of technological advancement. The digital revolution has transformed our lives in ways that would have been unimaginable just a couple of decades ago. Most of us can access our bank accounts anywhere, at any time, and transferring money takes just seconds. Social media and video calls have given grandparents back precious time with their grandchildren, no matter how far away they may live. Young people live in a world where they can find thousands of jobs at the click of a mouse and work for a global brand without having to leave the community they love living in. Yet, as innovation has accelerated, the state has fallen further behind. Our citizens still need to contend with up to 190 different accounts, with 44 different sign-in methods, to access Government services online. Each of them is easy to lose or forget.

[Max Wilkinson (Cheltenham) (LD)]

This is obviously a positive debate, as there are so many benefits for us all. I could not remember 191 passcodes—I struggle to remember my own to log in every day in Parliament—but of course we have to underpin everything that we are talking about in terms of technology with cyber-security. In Cheltenham, we have a 4,900 member-strong community speaking for our industry in CyNam, and of course we have GCHQ, where thousands of people work every day; they do not ask for our thanks, but they deserve it in bucketloads.

The Secretary of State may be aware of the golden valley development in Cheltenham, which I recently sent him a letter about and which would include the national cyber innovation centre. I wonder whether he might like to find out more about that by sending members of his team—or he could come himself—to have a chat with me about it.

[Peter Kyle]

The hon. Gentleman, who I welcome to his place, spent quite a bit of time on his intervention, but I realise that there is simply so much to talk about in his constituency. I pay tribute to the organisations he referenced, including GCHQ and CyNam. The work that they do often goes unthanked, but it is absolutely essential to the security, wellbeing and economic welfare of our country. I certainly intend to visit as soon as I can, and it would be great to meet any of his representatives at any point; I am sure that my ministerial team will be willing to do so as well.

[Jim Shannon (Strangford) (DUP)]

One of the things that comes up all the time in my constituency is the great difficulties that elderly pensioners have with online commitments. They do not understand them, not because they are silly or anything, but because the processes are too technical for them. Will the Secretary of State assure me that when it comes to ensuring that pensioners are looked after, nothing will disadvantage them in any way when it comes to getting their moneys?

[Peter Kyle]

I am grateful for the hon. Member’s intervention, which was his first on me in this Parliament; I doubt that it will be the last. I will come to digital exclusion a bit later in my speech, which I hope will answer his question. If not, I am happy to return to the point. I will also return to cyber-security—I do hope that the hon. Member for Cheltenham (Max Wilkinson) learns his parliamentary sign-in codes as quickly as possible, as that would be a good start to a secure and safe parliamentary career.

I realise that every one of these log-in details is easy to forget. Engaging with the state has become a bureaucratic burden on working people—one that they can scarcely afford. Unbelievably, UK adults spend 3 billion hours each year dealing with Government-related admin; for the average citizen, that is 1.5 working weeks every single year. That is less time to spend with their kids when they get home after a long day’s work and less time to get outside or see friends to stay healthy and be happy—put simply, it is less time to do the things they like and to be with the people they love.

[Debbie Abrahams (Oldham East and Saddleworth) (Lab)]

I commend my right hon. Friend on his excellent, moving speech, which is his first from that Dispatch Box. My condolences about his mum. He will be aware that during the pandemic, the evidence review commissioned by the former Health Secretary exposed widespread inequity and racial bias in the use of oximeters—little gadgets used to look at oxygen in blood. It also revealed that algorithms used in artificial intelligence—in social security, for example—have inequity potential. How can we ensure that, along with all the benefits that he correctly mentions, there is also protection around equity?

[Peter Kyle]

I am grateful to my hon. Friend for making that incredibly important point. I hope she will see that one of the themes of my speech is indeed tackling inequality and inequity, as well as outlining how I believe this is one of the progressive causes of our time. If we are not careful and do not shape this agenda in the right way, with progressive values and safety baked in from the start of everything we do, we will not have the trust of the public, and every citizen will not benefit as they should.

My hon. Friend references issues in the life sciences aspects of the agenda. The Health Secretary and I are joined at the hip on this; we co-developed the life sciences action plan, which we are jointly rolling out, he and I both chair some of the work relating to the life sciences action plan, and the two of us—working for a Government and a Prime Minister who care so much about tackling the inequities that currently exist in society—will ensure that these issues will be central to the agenda as it unfolds.

Every day, people in Britain are confronted with a glaring technology gap between the private sector and public services—a gap that has become impossible to ignore, between the personalised and paper-shuffling, the efficient and the inconvenient, the time-saving and the time-wasting. That gap is not just a policy problem to solve but one of the great progressive causes of our time.

The previous Government promised us a small state, but after 14 years all they did was give us a slow one. They gave us a state that takes away time from those with too few hours to give: parents on low income who are already missing out on time with their families because they are working overtime just to make ends meet; and the people at the margins of our digital world, or excluded from it all together. By closing the technology gap, we will restore every citizen’s belief that the state can work for them.

When the previous Government set up the Department for Science, Innovation and Technology, they recognised the transformative power of technology. They were right to do so, but if we want to lay the foundations for a decade of national renewal, we must be much bolder. We need to rewire Whitehall, because technology is much more than just another sector to support or a strategic advantage to secure; it is the foundation for every one of our national missions.

From kickstarting economic growth and making Britain a clean energy superpower, to breaking down barriers to opportunity and building an NHS that is fit for the future, our task is fundamentally different and our approach must be, too. That is why we have made DSIT the digital centre for Government. By bringing together digital, data and technology experts from across Government under one roof, my Department will drive forward the transformation of the state. That transformation will not just save people time; it will save taxpayers money, too. This Government are under no illusions about the scale of the challenge that we face.

[Dr Evans]

Could the Secretary of State explain what that means in reality for the Cabinet Office and the role that DSIT now has? Who has the organisational responsibility and the control over what goes on in Whitehall and his Department?

[Peter Kyle]

I am grateful for the question. The delivery functions of digital transformation have moved from the Cabinet Office and other Departments into DSIT. Governance of such services remains shared between us, including a powerful role for Treasury oversight. We want to harness the best of Government, and we must do so by working collaboratively. That is the missions-led approach that the Prime Minister has championed, and it is a belief that I have baked into DSIT and the way that we work. I recognise that the challenges that we are seeking to solve with a powerful digital centre of Government can work only if we provide a resource that other Governments aspire to draw down on and work collaboratively on. That is the target that we have set ourselves and that we are setting about trying to achieve.

As I said, the Government are under no illusions about the scale of the challenge that we face. We promised to mend Britain’s broken public services. Now, we must do so with the worst set of economic circumstances since the second world war. With taxes at a 70-year high and a £22 billion black hole in the public finances, we cannot afford to duck the difficult decisions. The solution is not unchecked spending. It is long-term, sustainable economic growth, delivered in strategic partnership with business.

[Chi Onwurah (Newcastle upon Tyne Central and West) (Lab)]

My right hon. Friend is making an excellent speech. Women in business could add £200 billion to the economy if they were invested in at the same rate as men in business. The female founders community has been in uproar since it was announced that Innovate UK would award only half of the 50 £75,000 grants from its women in innovation fund, even though almost 1,500 women applied for them. Innovate UK has since reversed that decision. Would the Secretary of State meet those from the community to understand their experiences, find out what went wrong and ensure that Innovate UK better supports the Government’s growth mission by better supporting female founders?

[Peter Kyle]

I am extremely grateful for that intervention; my hon. Friend makes an incredibly important point. First, on the broad themes of under-represented communities in the tech sector, the issue is multifaceted. It is not just about some people being excluded from the products that are emerging from the tech sector; it is also about access to the great jobs that are being created in the tech sector itself. It is clear that there is regional and socioeconomic imbalance, and that there are other equality issues. I remember very well in the 1990s trying to get into university, and the system back then diverting people like me away from it. I had to apply four times and go back to secondary school at the age of 25 to get into university. Now I see a tech sector that is not dissimilar—sometimes it diverts people from certain backgrounds away from it or fails to attract into the sector those people with great potential.

We need to do better than that. We need to lead from Government. When I saw Innovate UK’s decision, I was unsettled, but I was very pleased that it then came out so rapidly—not only reversing the decision and going back to the full 50 grants but issuing a forthright apology for the mistake that led to the problem in the first place. Such issues should not emerge. I know that Innovate UK will learn those lessons, but we need to ensure that the Government are at the forefront of delivering support for the sector and creating the jobs and technology of the future, and making sure that it does so in an equitable way. I am grateful to my hon. Friend for giving me the opportunity to put that on the record, and I look forward to meeting the community she mentioned.

A missions-led approach to reforming our public services will harness the power of technology to make them more productive. Let us take artificial intelligence. It is not just doctors and teachers who are using AI to change the lives of the public they serve. In Greater Manchester, citizens advice centres are using Caddy, an AI-powered co-pilot tool developed with my officials to help staff and volunteers provide more helpful advice to the people who need it. Digital experts in my Department are thinking about how we can use AI to connect clean energy projects to the grid more quickly. Stories such as these are just the starting point, but they remain all too rare. Why should any citizen be denied cutting-edge healthcare, clean energy or a world-class education? Why should a vulnerable person struggling with eviction or debt struggle to get the help they need?

Adopting AI across health, education and policing could boost productivity by almost £24 billion a year. If we fail to do so, the benefits of AI could become the preserve of the privileged few. The urgency of our task demands decisive action, because people should not have to wait for better public services. Rightly, they expect that we will fix the public finances fast. That is why we will publish the AI action plan, led by Matt Clifford. The action plan will work out how we can make the very best use of AI to grow the economy and deliver the Government’s national missions. Then we will set up the AI opportunities unit to help make the action plan’s recommendations a reality.

My Department will transform public services for the people who use them, by working with Departments across Whitehall to pioneer safe, new and innovative applications for AI. Every one of those applications will depend on two things: digital infrastructure and data. These will be the driving force behind Britain’s digital transformation, better hospitals and schools, safer streets and transport that works for working people.

[Mr Richard Holden (Basildon and Billericay) (Con)]

I welcome the Secretary of State to his position. Transforming the public sector is something that I think we all, across the House, can get on board with. I wonder whether in any of the pay negotiations that have happened or will happen across Whitehall, the acceptance of technology in the public sector will be part of a quid pro quo for the future.

[Peter Kyle]

I think the right hon. Gentleman pits productivity-enhancing tools against the interests of workers. I do not believe that is the case. If we take my example of Huddersfield hospital, which I had the pleasure of visiting, people have been retrained because AI is very good at giving all-clears—20% of people were given all-clears. Therefore, the radiologists are retrained and come back on a higher pay scale for doing so, and productivity has gone from 700 scans a week to 1,000 scans a week. It is not only cost-neutral but cost-beneficial for the Department. Those are the kinds of productivity gains that enhance work and the satisfaction of workers in the workplace.

We are the Government. We have some agency in how this technology is used and rolled out and how it supports people in the workplace. We will ensure that we deliver value for money for the taxpayer and services that are cost-effective for the taxpayer, but we will also aspire to ensure that workers’ rights and satisfaction in the workplace increases. We are a Government who respect the work of the civil service and the value it provides to our country. We want to ensure that these tools sit alongside that ambition to deliver greater outcomes for the country, while ensuring that the civil servants who work so hard for our country take a bit more pleasure from their work, by being assisted by some of this technology that we will introduce to the work of Government.

[Jim Shannon (Strangford) (DUP)]

Will the Secretary of State give way?

[Peter Kyle]

It will be a pleasure to give way to the hon. Gentleman, but I do not want to cut into the time for the maiden speeches that are coming up, so I will not take too many more interventions after this.

[Jim Shannon]

I thank the Secretary of State for giving way, and I look forward to hearing the rest of his contribution. As someone who does not have much of a grasp of technology, I understand that many people have a fear. The Post Office Horizon scandal is an example of where the system should have said no but instead said yes—a real problem. When people were travelling with British Airways, the system conked out for 24 hours. Those are examples of things going wrong. What can the Secretary of State do to give us confidence that the system will work?

[Peter Kyle]

I am grateful for the hon. Gentleman’s intervention. As I will say in a moment, all of this is contingent on one key principle: building trust with the public. We need to do so through actions, not just words. We have to take the public with us every step of the way, because otherwise we will not have the permission to deliver the transformation that, ultimately, will be profoundly beneficial for them. I have striven throughout this speech and since I have had the pleasure of this role, in opposition and in government—

[Dawn Butler (Brent East) (Lab)]

I thank the Secretary of State for giving way; he is being generous with his time. On that point about the public being confident in any systems we roll out, does he agree that we need to ensure guard rails are in place so that organisations and companies know what their responsibilities are?

[Peter Kyle]

I am grateful. The interventions are building up, but I think I can answer both together to satisfy both Members. Yes, safety has to be built in at the outset and the public need to see that. We have inherited a problem with safety in our country. Women and girls do not feel safe outside after dark. Parents do not think their children are safe online. We have an issue with safety that we need to get a grip of. I feel incredibly strongly, as do Ministers and the Department, that we need to reassure people that as we embrace the technological advances that sit before us, we do so in a way that has safety built in from the outset. That is something we will do, and we have high expectations that others will do so too. As I will mention in a moment, we are setting statutory obligations on people at the pioneering side of AI.

[Dr Luke Evans]

rose—

[Peter Kyle]

I am afraid that I will not give way a third time, because others have to get in, and otherwise you will give me a glare, Madam Deputy Speaker—if the hon. Gentleman has not yet had one of those, when he does he will understand why I am moving forward at pace.

To build a smarter state, we need to build a state with digital infrastructure that is faster than ever, from the data centres powering cutting-edge AI to the broadband connections creating opportunities for all our communities. We must also manage public sector data as a national strategic resource. For far too long, public sector data has been undervalued and underused. We must replace chaos with co-ordination, and confusion with coherence. That is what the national data library will do. With a coherent data access policy and a library and exchange service, it will transform the way we manage our public sector data. It will have a relentless focus on maximising the value of that data for public good, on growing the economy and creating new jobs, and on delivering the data-driven AI-powered public services that they deserve.

The digital revolution promises to overhaul the way citizens engage with the state, but as with every technological revolution before it, we know that it brings risks. With those risks come uncertainty, instability and, for some, fear. We do not believe that people should have to choose between those two competing visions of our future: between safety and prosperity, and between security and opportunity. By shaping technology in the service of people, we will grow the economy, create jobs and lay the foundations for an inclusive society in which every citizen can see a place for themselves.

[Gareth Snell (Stoke-on-Trent Central) (Lab/Co-op)]

My right hon. Friend is making a fine speech, but could he say a little bit about the cross-Government conversations that should be happening about upskilling and the opportunities for workers? What is cutting-edge technology today can be obsolete in six to 12 months’ time. Is there a plan for a rolling programme of training and upskilling, so that workers who work with technology can keep pace with it as it develops over time?

[Peter Kyle]

I am extremely grateful to my hon. Friend—it is fantastic to see him back in his seat, and we can see no better reason why when he makes such incisive contributions. I am in very close touch with the Education Secretary over the skills agenda, and my Department is in very close touch with the Department for Education, because we can only seize these opportunities and ensure that they are available to everybody from every background if we get skills right. At the moment we are not, but there are some pioneering projects that I have visited. We ought to ensure that they are accessible to everybody who needs them. I can assure him that is essential to the conversations we will be having.

Even as we seize every opportunity to build a better future, we will responsibly manage the threats that new technologies pose to our security. The first duty of any Government is to keep our nation safe. Thanks to years of neglect, Britain has been left catastrophically exposed to cyber-attacks, with disastrous consequences for public services and working people alike. Over 10,000 out-patient appointments were postponed following this year’s attack on the NHS in London—that is 10,000 people forced to wait to access the care they needed. If we do not act, we know there will be more attacks to come, and more hours lost in our hospitals and our schools. The Prime Minister has been clear that in an ever more volatile world we will do what is necessary to defend our country from those who seek to do us harm. That is why we are introducing the cyber security and resilience Bill, which will shore up our cyber-defences and protect our public services in the decades to come.

[David Reed (Exmouth and Exeter East) (Con)]

Supercomputing and artificial intelligence are key drivers for making us more cyber-resilient. Will the Secretary of State please clarify why £1.3 billion has been cut from that budget?

[Peter Kyle]

I am grateful to the hon. Gentleman for his intervention and I welcome him to his place. It is good to see him participating in these debates. It gives me the opportunity to respond to his question. He asks why I cut something. Can I just point out to him that I cannot cut something that did not exist in the first place? We have a former Prime Minister who announced a scheme but allocated not a single penny towards it. We have a former Chancellor of the Exchequer who at this Dispatch Box in his last Budget announced a scheme, but did not go back to his Department and allocate a single penny towards it. I did not cut anything, because nothing existed in the first place. Words matter when you are in government, and they must be followed through with action. I am afraid that the previous Government were all words and no action.

That is why we will be bringing forward binding regulations on the handful of companies that are developing the most powerful AI systems of tomorrow. The principle behind both pieces of legislation is simple: trust. We will rebuild Britain’s public services. Public trust in technology will be our cornerstone. To earn that trust, we will always put people’s safety first. We must also show that technology can be a force for good, and that is what we will do. Every person who receives the kind of scan my mother did not receive, every family with years longer together, every child with an education that gives them the opportunities their parents never had—every one of those people is a testament to the power of technology to change lives for the better. And yet for each of those people there are so many more who are missing out on an education that could change their life, or on the scan that could save it. By closing the technology gap, this Government will ensure that every person benefits from the digital public services that they deserve, and we will give Britain’s future back.

[Madam Deputy Speaker (Judith Cummins)]

I call the Opposition spokesperson.

--- Later in debate ---

[Andrew Griffith]

I could not be happier to debate that topic, but I am very conscious of the number of Members who, I was told, are trying to make their maiden speeches, and I think it is the case, Madam Deputy Speaker, that every intervention we take at this stage potentially jeopardises their chance of doing so. In short, however, there is a very fine place for solar: it is on the roofs of warehouses, car parks, supermarkets and new homes, where appropriate, but it is not on productive farmland.

In government, we significantly increased spending on public sector research—by 29%, to £20 billion in the current financial year—and our recent manifesto pledged to increase that by a further 10% over the life of this Parliament. May I ask the Secretary of State, and the Minister who will wind up the debate, if they can pledge to match that ambition to a sector that is desperate to see such certainty of funding?

The Secretary of State has my sympathy. I cannot imagine how difficult his phone call with the University of Edinburgh, which had already invested £30 million in the exascale supercomputer, must have been. This was a national facility that would have enabled significant advances in AI, medical research, climate science and clean energy innovation. The investment was fully costed, amounting over many years to what the NHS burns through in three days. There seems to be confusion at the Treasury: just because semiconductors are becoming smaller in size, it does not mean that the Secretary of State’s Department must follow suit.

[Peter Kyle]

The shadow Secretary of State said that the exascale project was fully costed. Could he confirm that it was fully funded too?

[Andrew Griffith]

Yes. The exascale investment was being delivered through UK Research and Innovation, an enterprise that receives nearly £9 billion every single year and that, under our manifesto, would have had a growing level of investment across the entirety of the spending review. There were plans in place to deliver the investment, which is why Edinburgh was so confident that it would be delivered. It was a clear priority in our spending plans and communicated in writing by the Secretary of State’s predecessor to the chief executive of UKRI. Notwithstanding the fact that the Treasury seems to have got his tongue immediately upon taking office, a project that the Treasury never loved seems to have been mysteriously cancelled. The project was being delivered by UKRI, an organisation with significant financial resources that far exceeded the £1.3 billion cost of the supercomputer. It is the wrong decision at the wrong time.

[Andrew Griffith]

The last Government did not do that; it was an independent institute that had multiple sources of funding. As the Secretary of State and his Ministers will discover, funding of that nature is competitive funding that is allotted by independent research councils. It would not have been within the gift of me or any other Minister to abrogate that competitive funding process.

Inevitably, there are projects that are funded and projects that are not funded, but the exascale computer was a very clear priority. It sat within the overall financial resources of UKRI and, under our Government, there was an expanding level of resource. People should have absolute confidence that the programme would have continued and been delivered in the context of the much larger amount of money that is spent through the Department, but by the Government as a whole. That was a good decision, and it would have had huge benefits to the UK. The chief executive of UKRI has talked at length about the benefits, and I think the Government are making the wrong decision. I urge the Secretary of State to go back, lock horns with the Treasury and seek to continue the project before it is too late, before contracts are cancelled and before technology is not procured.

[Peter Kyle]

The hon. Gentleman has said quite clearly that it was announced in the Budget, but it was contingent on a manifesto that had not even been written at the time of the Budget, in order to deliver the money promised in the Budget. He is an accountant by trade. Could he explain to the House why a Chancellor of the Exchequer standing up and making a commitment for which he has not one penny allocated until potentially winning a general election, which has not been called, is irresponsible?

[Andrew Griffith]

The Secretary of State will understand that at any point in time, a Department may go through a triennial spending review, although actually the triennial spending review had not fully happened. Governments also make forward-looking commitments and declarations of intent, and commission work, whether from arm’s length bodies such as UK Research and Investment or from officials in the Department, to deliver their priorities. I do not think that the Secretary of State disputes that this was a clear priority. Looking at the aggregated spend through UKRI and the different funding councils that were going to deliver the supercomputer project, including the Science and Technology Facilities Council, there is no question but that it would have been delivered. It was not contingent on growth; a Government of any persuasion, advised by their independent civil servants, would have delivered the programme through organisations such as UKRI. That is why Edinburgh University was so committed to it. It had been announced by the previous Government, and equipment was being procured.

As we seek to compete with modern states that are busily investing in exactly this sort of facility, it is important to recognise that it is wrong to simply recoil from the project. It is not something that the Treasury ever loved, and the Secretary of State has to push hard, as we did, but it is wrong to allow a step back on that brilliant project, which would unlock so many of the benefits that the Secretary of State talked about this evening. Again, I ask him to lock horns with the Treasury, and use every opportunity to see what can be done to revisit the decision. It is a very important project, and part of an ambition that I think we share for the future of this country.

In conclusion, the first duty of government should be to do no harm, and we cannot afford to get this agenda wrong. We will judge the Government by their actions. Where they are bold in order to deliver better outcomes at a lower cost to the taxpayer, they can count on our full support. We will help this progressive Secretary of State to face down the union luddites in his party. We on the Opposition Benches will support efforts to place the private sector at the heart of reform of the NHS, but the people of the UK cannot afford half-hearted efforts, the Treasury curtailing the departmental budget to pay for public sector pay rises elsewhere, or the abandonment of real ambition that can unlock the potential of technology to benefit this country for years to come.

European Centre for Medium-Range Weather Forecasts: Contingent Liability Notification

Peter Kyle Excerpts

Monday 2nd September 2024 Written Statements

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

I am tabling this statement for the benefit of hon. and right hon. Members to bring to their attention two new contingent liabilities for the activities of the Department of Science, Innovation and Technology and the European Centre for Medium-Range Weather Forecasts, hereon referred to as ECMWF.

The UK has agreed to fully fund the construction of a new headquarters for ECMWF on the University of Reading campus. This was a political commitment made to member states at the ECMWF council meeting in December 2021. To enable this, an agreement for lease has been negotiated with UoR to secure land and rights to build.

ECMWF is an independent international and intergovernmental organisation supported by 35 states, including the UK. ECMWF are considered experts in their field and attract talented scientists and engineers from across the world. The provision of the new ECMWF HQ will ensure approximately 270 to 300 skilled roles remain in the UK along with significant investment in the UK economy over the life of the building, generating a net present value of £97 million. The continued hosting of ECMWF will help to maintain the UK’s reputation as a world leader in weather and climate science.

Two indemnities are required by the university. The first is due to the university having incurred costs on the basis that the Department will subsequently complete the project. The costs cover relocating their art department to make space for the HQ and carrying out significant works in clearing the site by, amongst other things, demolishing existing buildings, removing asbestos and other contaminants and decommissioning services so that the site will be ready for development. The university are seeking an indemnity to ensure they would be partially reimbursed, should the project not be completed. They will not move forward with the project without this protection so, without these indemnities, the deal to secure the site would be jeopardised along with the project as a whole.

This indemnity will be triggered should the Department not achieve specific planning and construction milestones by specified deadlines. Since the planning requirements are nearly fulfilled with the grant of planning already in place, the risk of this indemnity crystalising is considered to be very low. The maximum costs to the Government are £14.4 million including VAT. If crystalised, the cost is likely to be the full capped value.

The detailed planning consent application was made in October 2023, with the grant of planning received on 24 July 2024. A six-week period following grant of planning permission during which the decision to grant planning permission could be judicially reviewed will expire in early September 2024. In the event that that period expires without an application for judicial review being made, this indemnity will fall away entirely. This is considered to be likely given that the planning application was not contentious.

The second indemnity relates to vacation and handover of the HQ at the end of the 50-year lease. If ECMWF does not vacate the premises at the end of the contractual term of the lease, or if the lease is otherwise determined before the end of the contractual term, and UK Government cannot return the building to UoR with vacant possession because ECMWF do not vacate, UK Government would be liable for UoR’s associated costs. Given ECMWF’s privileges and immunities, the inviolable status of its premises and the uncertain basis of its occupation of the property under domestic landlord and tenant law, UoR are concerned about their ability to recover vacant possession after the end of the lease if ECMWF were to remain in occupation. This risk is being held by UK Government as part of the lease agreement.

The UK would be under an obligation as host nation to provide alternative accommodation to allow ECMWF to move before the end of the tenancy, unless they depart the UK. There is a strong possibility that the university would agree to extend the lease or agree a new lease. UK Government and ECMWF are obliged to work together to avoid this kind of situation.

Costs in the event of this occurring are uncapped. Property and legal costs are estimated by the Government Property Agency to be around £500,000, or £600,000 including VAT. Other costs cannot be estimated at this stage due to the uncertainties involved. Costs comprise liabilities, expenses—including solicitors’ and other professional costs—claims and damages. Losses, including any diminution in UoR’s interest in the property arising as a result of the breach of covenant to provide vacant possession at the end of the lease, would also have to be covered. The Department would be responsible for such costs.

Although the agreement for lease and lease will be entered into by the Secretary of State for the Ministry of Housing, Communities and Local Government, the Department as ultimate sponsor and funder of the project will have budgetary responsibility within Government for them, and will be responsible for any payments due under the first indemnity and second indemnity. The Department are seeking approval of the indemnities as ultimate sponsor and funder of the project.

The Government will be subject to the new contingent liabilities, and I will be laying a departmental minute today containing a description of the liabilities undertaken.

[HCWS55]