- The UK AI sector attracts around £200m of private investment per day
- The news follows the recent launch of the UK government’s AI action plan
- Plan aims to make UK a world leader in AI
Since the Labor government took office in July 2024, the UK AI sector has attracted an average of £200m per day of private sector funding, equating to around £8.3m per day. hour, according to a new report from the Ministry of Science, Innovation and Technology. affirmed.
This news appears to support the UK government’s recent launch of a blueprint to “unleash AI” and develop capabilities by “unlocking” public data to train AI models, including designating “areas “AI Growth” to accelerate the construction of AI infrastructure and data centers.
Since then, more than £14 billion of investment and thousands of jobs have been confirmed, the report said.
The “new British project”
“By attracting more than £14 billion of new investment and thousands of new jobs since the unveiling of our new plan from businesses around the world, the message is clear: the appeal of the UK as a that magnet for AI innovation and growth will only grow stronger. “, said Secretary of State for Science, Technology and Innovation, Peter Kyle.
The report comes shortly after the UK government announced a £25 billion investment in UK data center infrastructure earlier in 2025, bringing the total to £39 billion in six months. This is despite the expected strain this will put on the national grid and the six-fold increase in demand it will likely bring.
The aim of the project is to make the UK a hub for AI innovation and create jobs and growth through the implementation of AI algorithms in private industries. Meanwhile, the UK government is funding 120 projects that will test AI to increase productivity and efficiency.
Examples include bakeries that can use an algorithm to predict the amount of product needed, as well as tools to predict where potholes will form so they can be repaired more quickly.
This investment comes with some warnings from experts, who highlight excessive data center energy and water consumption and the dangers of cybersecurity threats.
