Technology in Public Services

Richard Holden Excerpts

Monday 2nd September 2024 Commons Chamber

[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.

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

Thank you, Madam Deputy Speaker. On behalf of those of us on the Conservative Benches, I welcome you to your place.

I would also like to take this opportunity to welcome the Secretary of State and his Ministers. I congratulate him on a maiden speech that had much in it to commend and congratulate him on his stewardship of what is a fantastic Department. He is fortunate to be supported, as I know from my experience, by a team of outstanding officials. I pay tribute to their deep knowledge and dedication.

Our constituents know that innovation and technology is our future. The Secretary of State’s Department was already at the heart of our mission, supported by a record 29% increase in investment, from 2023 to 2025, to grow the economy and cement Britain’s science and technology superpower status. The former Member for Chippenham, my hon. Friend the Member for Meriden and Solihull East (Saqib Bhatti) and I left the Department in good shape, with, at that time, an expected underspend in this year’s budget. It may well be that we were better at fending off the Chancellor than the Secretary of State has been. I note the changes to the machinery of government, which see government digital services and the incubator for AI and other functions move from the Cabinet Office to his Department. Whether or not that is a good idea, time will tell, but what is clear is that it makes it even more important that he and his team now deliver—and where they do so, seriously, they will have our support.

We could not open this parliamentary term on a more important subject. Productivity drains in the public sector take money directly out of taxpayers’ pockets, and that is not fair on hard-working families. We know that the public sector accounts for roughly 20% of our national output, and that is often a source of national pride, but the hard truth is that public service productivity is far lower than that in the private sector. Few Departments —the Secretary of State talked about this—are without opportunities to deliver public services better and at a lower cost to the taxpayer. We can, together, transform NHS productivity, and make use of advanced technology and sensors to better secure our borders or defend our country—even from new domains such as space. We can introduce driverless trains to stop trade unions holding passengers to ransom, support farmers and food producers wishing to wean themselves off migrant labour through agri-tech and robotics, implement better use of tagging and “smart” prisons, and improve case flow in the criminal justice system—and a great deal more.

There are many brilliant officials across the civil service who are helping to foster this tech revolution, but I am afraid that their morale is being undermined by this Government’s early approach to appointments. It is on their behalf that I ask the Secretary of State, “What was it, Secretary of State, about the £66,000-donating, Labour-supporting Emily Middleton that first attracted you enough to make her one of the senior civil servants in your Department?” For the truth is that there are real questions to answer. What exercise did the Secretary of State go through between announcing the new Department on Monday and appointing a new director general later in the very same week to satisfy himself that not one single civil servant across Government was fit to perform that role? Did he disclose the £66,000 donation to the permanent secretary on his appointment? Did he tell the Civil Service Commission about the £66,000 donation and the links to Labour? Was is him or someone in his office who told Emily Middleton to delete her LinkedIn account? Why, given that the ministerial code is clear about the duty of Ministers to

“ensure that no conflict arises, or could reasonably be perceived to arise”,

did he not recuse himself from all decisions and discussions on this matter? If the Secretary of State will not use this opportunity to come clean, to answer all these questions and to publish the relevant correspondence, I really think it is time for Sir Laurie Magnus, the independent adviser on ministerial interests, to investigate.

[Mr Holden]

My hon. Friend has raised an important point on a specific issue. This is not a junior appointment, or a private office appointment, or an advice appointment. This is a director general appointment, at the second most senior level of the civil service. I am not aware, and I wonder if my hon. Friend is, of any occasion on which such an appointment has been made in such a way in the past.

[Andrew Griffith]

My right hon. Friend has made an important point, and he is right: this is a director general-level appointment in the civil service, second only to that of the permanent secretary and one of, I believe, only three director general-level appointments in the entirety of the Secretary of State’s Department. This is someone with the power to hire and fire and advance and promote civil servants, and someone—[Interruption.] This is an important point. Once this Rubicon has been crossed, once the civil service has political—[Interruption.]

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

It is a real pleasure to speak in this debate on technology in public services. Many new Members are waiting to give their maiden speech, so I shall try to be brief on this subject, which is dear to my heart, and on which I am very passionate.

The Labour Government understand the importance of technology and its potential to transform our lives. In a speech just last week, the Prime Minister promised to harness the full potential of artificial intelligence for the public good. As the Secretary of State laid out, we are already making progress. A few days ago, the Government released a bank of example lesson plans and curricula to help train generative AI tools—not to undermine teachers or try to replace them with large language models, but to free them up to spend more time teaching the next generation. Only two months in, that is not bad.

It is really important that we have good news stories to tell about technology in public services; indeed, I want to start by praising technology generally. I consider myself a tech evangelist, and I know that many of the new intake consider themselves tech evangelists, too. We cannot count how many lives have been saved by remote medicine; how many businesses have been started, enabled or grown through technology; how many marriages have been saved by couples not arguing about how to get directions; and how much joy has been shared through cat memes.

Technology can and should be a force for good, which is why I went into engineering—to make the world work better for everyone. As the Secretary of State laid out, the opportunity that technology offers public services is huge. In opposition, I shadowed digital, technology and science briefs. Given the dire mess that 14 years of Tory government has made of our country and our finances, praise for anything that happened under the Tories’ multiple and ever-changing regimes is rare, but I want to give credit where credit is due. The creation of the Government Digital Service back in 2011 was world-leading. It was a Labour idea, and it delivered real benefits to both the public and the civil service. From online tax returns to driving licences, the GDS model of user-centred, agile service development reaped some big wins, which saved the Government money and saved people time. The report I commissioned in 2014, “Technology for Everyone: The Prize of Digital Government”, highlighted the opportunities, as did the “Our Digital Future” report, published in 2020.

But the Conservative Government did not follow through. They did not succeed in driving change through every Whitehall Department, or outside of Whitehall into local government, so they squandered the promise of GDS. Digital government lost its way between departmental silos, Conservative factionalism, a lack of investment, and a focus on woke lanyards, rather than technology adoption, so we have not made the progress that we should have. My constituents spend too much time trying to interact with public services in ways that are repetitive, time-consuming or plain hostile, and I have had constituents in tears in my surgeries because they cannot make a benefits claim or are put on hold by some service for hours on end.

[Mr Holden]

Technology is the subject of this discussion, but there is also the issue of connectivity to that technology. Is it not the case that in parts of the country, connectivity could be a major issue, as well as the technology itself?

[Chi Onwurah]

I thank the right hon. Gentleman for that intervention, and for highlighting the lack of progress by the last Conservative Government—and indeed their failure to roll out acceptable digital infrastructure across our country.

Good news stories about technology have been replaced by tech horror stories—about workers imprisoned unfairly because of Post Office software failures, and about students being treated unfairly by exam algorithms. This entrenches opposition to technology. Too many of my constituents feel that they are being tracked, monitored, surveilled and analysed. They do not want to go online without feeling safe and secure.

Work by the Collective Intelligence Project highlights that safety, participation and progress must go hand in hand, because only public confidence in AI will enable us to drive adoption in public services and improve productivity. That is why the Government are so right to emphasise safe deployment. Pre-deployment evaluation of foundation models by our world-leading AI Safety Institute will boost public confidence, and provide transparency about when AI is used in the public sector, and how it will help to maintain trust.

I have worked in technology deployment for many years, and bitter experience has led me to the conclusion that whatever the problem might be, technology is not the answer on its own. You cannot force technology on people. Co-creation is an overused term but an underused reality, so engagement, participation and partnership working need to be part of the plans for adoption. The group Connected by Data has great examples of this type of participatory decision making. Camden Council, which was led until recently by the Parliamentary Secretary, Cabinet Office, my hon. Friend the Member for Queen’s Park and Maida Vale (Georgia Gould), has done excellent work in this regard.

I am sure that I do not need to tell the House that AI is the subject of hype as well as hope. In partnership with the What Works centres, we need to evaluate different uses of AI in our hospitals and schools, for example, so that we can scale up the most cost-effective solutions while avoiding expensive failures. The private sector has driven the adoption of so many of the technologies that have transformed our lives, but we must build state capacity in tech by recruiting more diverse science and technology experts to the civil service, so that Government can innovate. We need fair, open and transparent procurement processes that will enable British start-ups as well as big tech companies to bid for Government contracts.

Given the previous Government’s responses to my parliamentary questions, I am concerned that our digital infrastructure may be too dependent on single or dual suppliers, or on proprietary systems. I hope that the Secretary of State will consider that, and the role of start-ups and open source in ensuring resilience. Digital inclusion was neglected by the previous Government. Age UK estimates that around a third of over-75s—that is 1.7 million people—do not use the internet. We must tackle the barriers, which include infrastructure availability, cost and the skills gap, but we also need to recognise that some people may never be comfortable with digital access to Government services.

Finally, we should remember that we too are a public service. I have raised the adoption of technology in this place many times. Indeed, I worked closely with the House authorities during covid to deliver a remote Parliament by introducing Zoom into the Commons. We must lead by example when it comes to adopting technology to improve our performance. I am standing to be Chair of the Science, Innovation and Technology Committee because this is so important to all our constituents, but they often feel that technology is something that is done to them, rather than with them and for them. The benefits of technology have not been shared fairly. Under a Labour Government, this will change, and public services will lead the way.