Former UK Chancellor: AI is 'Economic Imperative'
Former UK Chancellor George Osborne warned that countries failing to embrace artificial intelligence will become "weaker and poorer." He positioned AI adoption as an essential component for maintaining national economic strength and competitiveness on the global stage.
- George Osborne made his remarks at the AI Impact Summit in Delhi, two months into his role as head of OpenAI's "for countries" program, which aims to help governments worldwide implement AI infrastructure. - The UK government has established a Sovereign AI Unit, backed by up to £500 million, to invest in and support domestic AI companies, ensuring they can become world-leading. - Projections from PwC estimate that AI could increase the UK's GDP by 10.3% by 2030, which is equivalent to an additional £232 billion. - The UK's research and innovation agency, UKRI, has committed a record £1.6 billion in funding directly to the AI sector for the period between 2026 and 2030, its largest single area of investment. - As of early 2026, AI adoption among UK businesses stands at approximately 16%. The IT and telecommunications sector shows the highest rate of adoption at 29.5%, while the retail and hospitality sectors are among the lowest at around 11.5%. - Globally, the UK ranks third for private investment into AI companies, following the United States and China. The UK's AI market was valued at $92 billion in 2024, making it the largest in Europe.
