The UK Government has announced plans to support the development of Britain’s AI hardware infrastructure, while also committing to work more closely with “middle power nations” in establishing international standards for the deployment of artificial intelligence.
Speaking at the Royal United Services Institute (RUSI), Technology Secretary Liz Kendall emphasized that a sovereign AI strategy is fundamental to the UK’s economic and national security, and that its tech sector and research institutions put it in a strong position to succeed in AI.
Kendall revealed that she will launch “a new AI Hardware Plan” at London Tech Week in June, through which the UK Government will add to such initiatives as its £100 million investment in ARIA’s scaling compute programme, which currently enables UK-based startups to test hardware.
The technology minister also revealed the government’s intention to build on recent partnerships with such nations as Germany, France, Canada, Japan and South Korea, while also emphasizing that the UK had no desire to undermine its “deep, close and enduring relationship with the US.”
Taking on the Big Five in AI
The UK Government has already taken steps in recent weeks to support the UK’s emerging AI sector, including April’s launch of a Sovereign AI Unit that will invest £500 million in British AI startups and scaleups.
Kendall noted that the new unit has already provided funding to two UK AI companies, having participated this week in Ineffable Intelligence’s $1.1 billion seed round, which also featured Sequoia, Lightspeed, Nvidia, and EQT.
But she added in her speech that the UK Government wants to “go further” in supporting the development of Britain’s AI sector, which is why it will officially launch an AI Hardware Plan in June.
“The global AI chips market is growing at an annual rate of 30% and expected to reach one trillion dollars in the early 2030s,” she said. “If Britain could secure just 5% of this market it would bring fifty billion dollars in revenue to the UK with tens of thousands of high paid jobs in tech.”
Aside from economics, Kendall also addressed the national security rationale for investing in AI, highlighting how 70% of global AI compute is “now controlled by just 5 companies,” having stood at roughly 60% a year ago.
She said, “Faced with the power and speed at which this technology is developing we must ask ourselves: how do we make this technology work for Britain and deliver a better, safer future for all?”
Sovereign AI is ‘not about isolationism’
Kendall’s speech was delivered at the Whitehall-based RUSI, the world’s oldest security and defense thinktank, yet she emphasized that a move towards AI sovereignty is not about “isolationism or attempting to pull up the drawbridge and go it alone.”
In fact, the Technology Secretary argued that Sovereign AI will not be achievable without “working with our allies, especially other middle power nations,” with which the UK can partner on “setting the standards for how AI is deployed.”
Some commentators agree with this outlook, with Mike Maddison — the CEO of global cybersecurity company NCC Group — telling TechRepublic that the UK’s government is not the first to announce sovereign AI goals.
“AI sovereignty should not be mistaken for isolationism,” he said. “It is about reducing overreliance in critical areas while strengthening resilience — backing British AI capabilities where we have clear strengths, and continuing to work closely with international partners to shape how these technologies are deployed.”
Maddison emphasizes that the UK is well placed to secure an advantage within the rapidly growing AI sector, and that its Sovereign AI goals can build on its preexisting technological capabilities and infrastructure.
“[Sovereign AI] should be about recognising and deploying the UK’s existing strengths in cyber security, assurance and advanced technologies,” he explained. “Combining UK AI innovation with strong oversight, resilient architectures and human accountability will be critical to ensuring these technologies deliver both economic value and long-term security.”
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