Chancellor Rachel Reeves is being urged to take a moment and use artificial intelligence to “Make Britain leaders again”, as business leaders and technology experts warn that AI could be the way to grow the tax budget squeezed by Labor tax promises.
The calls come as the government prepares to announce thousands of new AI-related jobs and billions of pounds of investment in a bid to boost productivity and restart the UK economy. Measures expected on Wednesday include the creation of a new AI growth center in South Wales, predicted to bring more than 5,000 jobs over the next decade, and £137 million to support scientists leading advanced drugs, treatments and advanced technology.
Patrick Sullivan, CEO of Pawwileki Talk Talk Tank, said Reeves’ Financial Room for Maneuver is very limited.
“With the Abrifesto Entrurd Acsurd Manifesto that eliminates the income tax loophole, now the chancellor is forced to cobble together a quick solution to fill the black hole completely,” he said. “One saving grace is the advent of Mass AI adoption — technologies that can deliver massive efficiencies when government needs them most.”
But while advocates say investment in AI will be needed to unlock long-term growth, cybersecurity experts warn the technology is also exposing the UK to a rising tide of digital threats.
Graeme Stewart, head of public affairs at Check Point Software, said billions in AI funding should be matched by a national security strategy.
“The case for investing in AI for driving is clear, but very little is said about cyber and regulatory risks,” he said. “Criminals have shown that nothing is illegal – from the NHS to nurseries to local sewers. More AI deployments must be backed up by a robust plan to protect critical national infrastructure.”
Stewart added that the government must set out how it intends to protect public services and the private sector against cyberattacks powered by AI, warning of the threat situation”.
Business leaders also emphasized the need for Reeves to build trust with employers after the rise of $ 25 billion national insurance, many firms are still absorbing.
Kenny Macaulay, CEO of the Accounting Software Platformation Opting Office, says investment in AI can help stimulate hiring and productivity – but only if paired with clear support for employers.
“With businesses continuing to pull out of the NI increase, the Chancellor has a tough job ahead of him to win back confidence in the private sector,” he said. “National AI rollout and new infrastructure can help kick-start growth, but it’s only a strategy to get businesses hiring again.”
Macaulay also said that the chancellor must be aware of the role of financial services and accountancy companies in obtaining development and compliance with regulatory legislation, and urged the profession to adopt AI to guide operations and improve customer service.
With a budget of just a few hours, the message from the industry is aligned: AI represents one of the few remaining levers found for growth – but successful rollout requires ambition, security, and renewed business confidence.
