Did you know that Britain is the 3rd largest AI market in the world? The government in its , The AI opportunities action plan has indicated that we are, and this, in my view, is impressive.
In January 2025, the UK government launched The AI opportunities action plan, a strategic move to position the country as a global leader in artificial intelligence. It’s an ambitious roadmap aimed at boosting innovation, creating jobs, and modernising public services.
The plan was developed by Matt Clifford, Chair of the UK’s Advanced Research and Invention Agency (AIRR) reporting to the Rt Hon Peter Kyle MPSecretary of State for Science, Innovation and Technology. It was presented to Parliament at the start of January 2025
For businesses in the UK, the plan represents an exciting opportunity to leverage AI for growth and efficiency. As with any plan, government or otherwise, it also comes with its share of challenges and risks. So, what does the plan entail, what does it means for UK companies, and what risks do organisations need to be prepared for?
What Is the AI Opportunities Action Plan?
This is an extensive 50-point action plan so I will focus on some of it’s salient points below. At its core, the plan focuses on a number of key areas:
- Expanding AI Infrastructure - The government is investing in cutting-edge infrastructure, including a new supercomputing facility and “AI Growth Zones” to speed up the development of data centres. These investments aim to make advanced AI tools and computing power more accessible to businesses.
- Providing Access to Public Data - as part of its infrastructure plans it will be providing researchers and innovators with access to a National Data library of public sector data to support AI research and innovation. It also has plans to incentivise researchers to curate and share private data. Clearly this has implications for data privacy, data security and cyber security as well as the ethical and responsible use of data.
- Building Skills and Talent - Upskilling the workforce and attracting global AI professionals are major priorities. By investing in talent, the government wants to ensure businesses have the expertise they need to innovate and scale AI solutions. This will include new career pathways, interventions in schools and for girls, immigration related interventions, and an undergraduate and masters scholarship programmes.
- Adopting AI in Public Services - AI will be integrated into public services to improve efficiency and reduce costs. For businesses, this creates opportunities to partner with government bodies and provide AI-driven solutions.
- Focusing on Ethical AI - With an emphasis on governance and safety, the plan encourages businesses to innovate responsibly, fostering trust among customers and stakeholders.
- Establishing the “Right regulation” - the government signalled its intent to have the “right regulatory regime” in place which will cover topics like copyrights as well as exploration of “regulatory sandboxes” to aid innovation. Regulators will be required to publish an annual report on their support of AI within their remit.
What it Means for Your Business
The plan demonstrates that the government is keen to push hard on AI across many fronts and this could really accelerate the pace of change across the UK. As usual there will be losers and winners
- Harnessing An Enabling Environment: The key foundations in the plan could enable responsible AI growth in the UK if they do materialise. The government wants Britain to be an AI world leader and this signals their point of view on the future of AI in our society.
- Faster Innovation: With enhanced infrastructure, businesses can experiment with AI solutions more quickly and scale them with less friction.
- Access to Talent: The focus on upskilling and attracting global expertise should enable access to a competitive pool of professionals to drive AI innovation.
- Public-Private Partnerships: The government’s push for AI in public services creates new markets for companies offering innovative solutions.
- Trust Through Ethics: Organisations that align with the plan’s ethical framework can strengthen their reputation and differentiate themselves in the market.
The Risks and Challenges
The AI Opportunities Action Plan poses a number of risks for organisations to bear in mind.
- Strategy - The plan’s success depends on effective delivery and will take time so we shouldn’t all get excited too quickly. This is a 10-year investment programme and delays in building infrastructure, securing talent, or global competition could hinder progress. Additionally, top AI talent may still gravitate towards countries offering more attractive opportunities.
- Operational Risks - While many large organisations are already adopting AI, small and medium-sized enterprises (SMEs) could struggle due to limited resources. Training the workforce to meet AI demands will also take time, leaving a potential skills gap in the short term. The people change management challenge should not be underestimated.
- Financial - Building supercomputers and growth zones comes with cost overruns and economic uncertainty. How will it truly be funded? Private businesses may also face pressure to co-invest in AI adoption, which could strain budgets, especially for SMEs
- Legal - Evolving AI governance could be a compliance minefield for businesses. Organisations must navigate data privacy concerns, intellectual property disputes, and other legal complexities as they integrate AI.
- Reputation - Public trust in AI remains fragile at best. Issues like job displacement or unethical AI use could harm the credibility of both the government’s plan and businesses that fail to address these concerns.
- Technology Risks - AI systems require robust cybersecurity measures. Without them, businesses risk data breaches and operational disruptions. Additionally, rapid advancements in AI could render newly built infrastructure obsolete, requiring further investments.
- Regulation: the regulatory regime needs to be balanced, effective and burdensome only to the extent that it does not stifle innovation (every regulation places a burden and one must not deny this).
- Social Risks - AI-driven automation may displace jobs, increasing inequality if reskilling programmes fall short.
- Environmental Risks: AI systems and data centres are also energy-intensive, raising questions about their environmental impact.
What You Should Do to Prepare Your Business
On the one hand, the government’s plan lag the strides already being made across many sectors.
Businesses need to think and act strategically
- Mapping AI Usage: Assess the extent of AI usage in your organisation. From Bring Your Own AI (BYOAI) with tools like ChatGPT on employee owned devices to AI embedded in your 3rd party applications
- Assess AI Readiness: Evaluate your current capabilities and identify areas for investment, improvement and control.
- Invest in People: The race for talent is already on. You need to explore your talent gaps as well as upskill your people, tapping into government-supported training initiatives as relevant to the nature of your business.
- Collaborate as Necessary: Partner with public bodies and other businesses as appropriate, to share resources and expertise.
- Prioritise Ethics and Governance: Align with best practices for transparency, fairness, and accountability in AI. Ensure you have the right policies, controls in place supported by employee, executive and board awareness programs
- Think Long-Term: Design flexible strategies that can adapt to rapid technological changes. The technology is rapidly evolving to carefully consider the right balance of buy versus build versus borrow.
Looking Ahead
The UK’s AI Opportunities Action Plan is a bold step towards an AI-driven future. It offers businesses the chance to innovate, grow, and lead on the global stage. But with great opportunity comes significant responsibility.
Organisations must navigate a complex landscape of strategic, operational, and ethical challenges. Those that prepare effectively - balancing ambition with caution - will be well-positioned to thrive in this new era of AI.
There is a significant opportunity to embrace AI, not just as a tool for efficiency, but as a strategic enabler for growth. The question is, are you ready and protected?
If you’d like help assessing your AI readiness or navigating the challenges of adoption, reach out to me,
Buki O.
. for a consultation.
At
Crowe UK
, our tailored AI services include education, governance, strategy, execution, and scaling as part of helping organisations achieve operational excellence. We help organisations unlock AI’s potential responsibly and effectively:
- AI Educatiin: We simplify AI concepts for your team, empowering them with the knowledge to understand and leverage AI technologies in their roles.
- AI Governance: We ensure your AI systems are transparent, ethical, and aligned with emerging regulations, building trust with stakeholders.
- AI Strategy: Our experts work with you to design a clear roadmap that aligns AI adoption with your business goals, ensuring a strategic and sustainable approach.
- AI Execution: From piloting to full-scale implementation, we provide hands-on support to integrate AI seamlessly into your operations.
- AI Scaling: Once AI is embedded, we help you scale solutions efficiently across your organisation, driving measurable outcomes and long-term value.
Whether you’re just starting your AI journey, exploring, or looking to optimise existing operations and systems, our services are designed to deliver results while addressing the risks and challenges of this rapidly evolving field.