UK poised for new AI regulation: what to expect

As AI (artificial intelligence) continues to evolve, the UK is on the cusp of introducing new legislation to regulate this transformative technology. And with a new government in place following the recent election, the path forwards for AI legislation in the UK still has some big question marks hanging over it. So, what are some things that can businesses and consumers can likely expect?

UK Government shifts from 'pro-innovation' to targeted regulation

The previous Conservative government had championed a 'pro-innovation' approach to AI regulation, built on regulatory principles designed to encourage industry creativity and growth while ensuring safety, transparency, and fairness. However, the new Labour government has signalled its intention to implement more specific regulations, particularly targeting companies responsible for the most powerful AI models.

This shift in strategy is more in line with worldwide patterns, as illustrated by the European Union's AI Act that came into force in August 2024. The EU Act is the first ever legal framework on AI worldwide. It categorises AI systems based on risk levels, with those used in critical infrastructures, employment and many other sectors classified as 'high risk'. These high risk areas are subject to strict obligations before they can be put on the market.

Potential focus areas

While the exact details of the UK's impending AI regulation are yet to be revealed, experts suggest it may address several key areas:

• Ethical standards: Ensuring AI systems adhere to ethical principles and do not perpetuate biases.
• Transparency: Requiring companies to disclose when AI is being used, particularly in important business decisions such as hiring.
• Safety and security: Implementing new measures to ensure AI systems are secure and do not pose risks to users or society at large.
• Data quality and management: Emphasising the importance of high-quality datasets to train AI models, as their use becomes increasingly widespread.
• Human oversight: Ensuring that human judgment remains a crucial part of AI-assisted decision-making processes.

Balancing innovation and regulation

The challenge for the UK government will be striking a balance between fostering innovation and implementing necessary safeguards recommended by regulatory authorities without stifling AI capabilities. Businesses operating in the UK will need to stay informed about these regulatory changes and potentially adapt their AI strategies and service areas accordingly. This may involve enhancing internal AI governance, training staff, and ensuring AI deployments align with these new laws and legislative requirements.

Looking ahead

As the UK gets ready to unveil its AI regulation, all eyes will be on Westminster’s AI policy development. The legislation has the potential to shape the future of AI development and deployment in the UK, influencing everything from recruitment practices to consumer-facing applications.

While the path forward may present challenges, as exciting AI technologies continue to advance, the effectiveness of new AI legislation in the UK, and the regulatory framework surrounding it, will play a crucial role in determining the UK's place in the global AI landscape.