The architect of the UK government’s strategy for artificial intelligence is stepping down this month. Matt Clifford was a driving force behind the AI Opportunities Action Plan, which laid out 50 recommendations that the government has accepted and begun to implement.
The Action Plan is ambitious, and sceptics might point to a mismatch between the UK’s desire to invest in all parts of the AI value chain and the depth of its pockets. The UK remains a distant third in the AI race, behind the US and China, who have far more resources at hand.
Like other middle powers, the UK faces challenges in its capacity to acquire semiconductors, increase access to investment capital for its firms, expand its energy infrastructure and build data centres. Given these limitations, what is a realistic AI strategy for the UK?
One path stands out: talent. In AI, talent is the workforce: the researchers, developers, investors and users across the sector. They provide the necessary expertise and userbase to push forward the frontiers of AI. They bridge the gap between science and its application in schools and universities, companies and the public sector.
As in other sectors, countries seek to develop their own citizens while competing to attract overseas talent through a combination of policy incentives. These include visas and fast-tracked immigration programmes, tax breaks, business and education opportunities, and improved quality of life.
Despite the constraints facing the UK, ‘the nation of Babbage, Turing and Lovelace’ (to quote Keir Starmer) could have the breadth, depth and history of technological expertise necessary to capture this important element of the AI industry.
What is the UK doing?
Since 2023, the UK has made significant progress in developing its AI strategy – first with the Bletchley AI Safety Summit and now with the government’s AI Opportunities Action Plan. But recent policy developments, such as the TechFirst programme and the Modern Industrial Strategy, signal a shift in priority in the UK’s AI strategy: from investment in hardware to cultivating STEM skills, AI experts and a tech-literate workforce.
This repositioning is a strong and strategic fit for the UK. Oxford, Cambridge, Imperial College and other top-ranking universities provide a steady stream of AI graduates. That is vital, as AI researchers often stay in the country where they receive their degree.
London continues to attract AI leaders, such as Google DeepMind and Stability AI. King’s Cross is now a go-to tech hub, home to start-ups and tech giants alongside established research institutes such as the Francis Crick Institute and the Alan Turing Institute. Similarly, Westminster is attracting leading AI thinkers to the public sector, with the government’s AI Security Institute now the gold standard of governance institutes worldwide.
The Action Plan’s recommendation that the UK should seek to attract top AI graduates from abroad should also help, especially when coupled with an array of relaxed and new visa options such as the Global Talent and Innovator Founder visa.
Other contenders
While the US and China remain far ahead of all competitors in the wider AI race, there are opportunities for the UK to attract talent. In the US, President Donald Trump’s skirmishes with leading universities and his administration’s tightening of restrictions on foreign student migration have led some researchers to look elsewhere. British and European universities have an opportunity to court this international talent.
China is retaining more STEM experts who studied at Chinese universities and is doing better at attracting overseas AI talent, in part due to the Thousand Talents Plan. Together, this will provide a steady supply of quality computer scientists and engineers. There is also growing recognition abroad of Chinese accomplishments in AI following DeepSeek, which will itself attract AI talent. However, with potential linguistic and cultural barriers in China and concerns over data privacy, intellectual property and freedoms, the UK may appeal more to international researchers.
The UK also has advantages over comparable competitors. One is language: AI is still dominated by English, despite attempts to diversify the field. Countries such as Germany, France, Japan and South Korea therefore face additional barriers to collaborating and sharing resources. Another is regulatory. While many EU countries have skilled workforces and high levels of English, EU regulations have been seen by many US companies and policymakers alike as too heavy-handed and deterring innovation. The UK has so far positioned itself as a more attractive destination for researchers seeking to innovate.
Elsewhere, Singapore punches above its weight, given its smaller workforce. But its attempt to balance its technology strategy between the US and China leaves it especially vulnerable to volatility from their escalating economic competition. Although there has been significant investment in data centres in the Gulf, the region is still in the early stages of becoming a recognized hub for AI talent.
