UK Government's Tech Investment and AI Strategy

The UK's tech sector has grown 25% in the last decade, attracting £150 billion GVA, with a focus on AI and talent acquisition.

### UK Tech Sector: Growth Prospects and Government Initiatives
* 💰  The UK tech sector has grown **25% over the last ten years** and contributes **£150 billion GVA to the economy**.
* 🏛️  Rachel Reeves, the first female Chancellor of the Exchequer, outlined the government's growth plan focusing on **changing planning, investment, and reform**.
* 🤖  The Labour Party manifesto mentions fostering a **competitive AI industry**, but lacks specifics on areas like **building data centers** and **talent acquisition**.
* 🏗️  The government's new planning powers, with the Deputy Prime Minister Angela Rayner calling in planning permissions for data centers, indicate the **sector's importance**.
* 🧠  Initiatives include using AI to **reform health provision**, enhancing education and skills with AI, and **attracting more tech investment**.
* 🌍  Talent acquisition is a key concern, with the need to make it **easier to bring world-class talent to the UK** while also **growing domestic talent**.
* 🏙️  London, as a major tech hub, is expected to benefit from an **active industrial strategy**, a **focus on skills**, and initiatives to **attract global investment**.

So, Julian, what does the investment landscape look like for technology now from a government perspective? Well, it's really interesting. I mean, the tech sector in the UK is a success story already. It's already grown 25% over the last ten years. And investment is coming in, and we're now £150 billion GVA to the whole economy. So the starting point is a great in a great place. Caroline. What was interesting today, I was at Rachel Reeves, the new Chance, the first female chancellor of the historic moment, giving a speech about what is the plan for growth, how they're going to go about it. And it was very much about changing planning. It was about investment. It was about reform. During the conversations I've had with the tech industry over the weekend. And good morning to you from San Francisco. Is that now is that big on hope in the UK based on a Keir Starmer government.

with Rachel Reeves at the Treasury?
But then on detail, you know, I went back and read the Labour manifesto and
they write about AI, right? Fostering a competitive industry.
But one complaint is that actually they don't explain how they're going to do
that, particularly when it comes to getting data centers built talent on the
ground. Yeah, so it's really interesting because
this morning as an illustration of the new powers to do with planning because
the Deputy Prime Minister was there as well.
Angela Rayner. And Rachel Reeves said the first two decisions that she is calling
in under her new powers as Deputy Prime Minister to review are to planning
permission for data centers that were turned down under the previous
government. So that's quite an indicator, I think, of
them treating the tech sector important. But there's more to do, and we want them
to now start to publish. How are they going to use AI?
Are there some good indicators?

And I mean there's quite a bit center
about the way they're going to try and use AI to reform health provision.
There's some talk about more use of AI across education and skills, and
continuing to look at how we bring in more tech investment.
And that's another meeting that's happening tomorrow morning.
They're coming thick and fast at the moment.
These engagements for the new government, and a lot of it is about tech.
It's notable it should be about tech because despite so-called turmoil worry
about Brexit, we still have a notable amount of
unicorns in the United Kingdom, with Revolut maybe eyeing an IPO, for
example. But the key question for me has to be
talent, Julien, and whether or not it is going to get any easier to get talent
from abroad into the UK if that is necessary for the ecosystem where we
need world-class talent from around the place.
That's how tech thrives, and we're well

placed to get that.
But we also need to grow our own talent. Caroline. And the other thing that was
interesting today was a much more flexible approach to the apprenticeship
levy, which business has been complaining about for many years now, to
actually say, okay, how do we get more flexible use of skills. How do we get
lifelong skills, how do we get returners and retrain is. How do we open up our
industries. Something we and our 1100 members of Tech UK are very passionate
about. I think we're in good shape for this.
I mean, yes, the argument about migration. I heard you talking in
respect to the French elections, but we ended up with a centrist government and
I think a sensible approach to this is going to be one that says get the skills
we need to globally available and grow our own and keep doing that.
Julie. The City of London is fascinating.

to me.
You have a basically emboldened Labour mayor, in partnership with now a Labour
government, who's talked about devolving more power to the mayor's office.
Do you think that Brighton's the prospects for that city?
Yes, I do. And I also think that, you know, how to
say this, a lot of talk was about growing other
parts of the UK scene that was formerly, yet seemingly not talking about continue
to grow London as if London could look after itself.
And I think that will change. Now, that does seem to be the case.
So we're certainly thinking that the view of London, I mean, Elon Musk was
recently talking about the fact that apart from the Bay Area, London is the
next biggest centre for air talent already.
So those kind of things are working for us.
If you put that together with an active industrial strategy, a real focus on
skills, and there's an investment conference, as I said, where we're
actually saying how do we get some of

the people who want to invest around the
world come to look at the U.K. Its stable is very tech-friendly.
It's got lots of talent, and it's got some really great industries like the
city.

TechUK CEO: Need to Bring in More Tech Investment

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Bloomberg Technology

The UK Government's Plan for Technology Investment

The UK tech sector has experienced significant growth, contributing £150 billion to the economy.

The government is focused on changing planning, investment, and reform to support the industry, with a particular emphasis on AI and data center development.

The new Deputy Prime Minister and Chancellor are prioritizing the review of planning permission for data centers, signaling a strong commitment to the tech sector's importance.

The UK Government's Focus on Tech and Talent

The new UK government is prioritizing the use of AI in healthcare and education, as well as increasing tech investment.

There is a key focus on attracting global talent while also growing domestic skills.

The government is also aiming for a more flexible approach to the apprenticeship levy to meet the needs of the tech industry.

The Impact of Devolving Power to the Mayor's Office on London

The Labour mayor and government are planning to devolve more power to the mayor's office in London.

There is a shift in focus towards growing London's influence, particularly in terms of attracting talent and with an active industrial strategy.

This is expected to change the perception of London's ability to self-sustain and grow.

is a stable and tech-friendly environment that attracts global investors.

It is rich in talent and home to thriving industries such as the financial sector.

The country's attractiveness for investment is driven by its strong technological infrastructure.