The latest data reveals that financial backing for UK AI businesses hit a new record in 2024.
For people investment planning in Cheshire tech, AI-related enterprise now contributes around £11.8 billion to the British economy. It also employs over 86,000 people. A record £2.9 billion was invested in AI companies in 2024. Average deals were valued at £5.9 million each.
The industry is, furthermore, becoming less London-centric, with at least twice the number of AI companies now based in Yorkshire, Wales, the Midlands and the North West compared to 2022. The government is apparently keen to capitalise on this buoyant market. It has prepared a strategy to encourage further investment and deliver more growth for the AI sector.
Technology Secretary Peter Kyle said that the government is committed to cutting bureaucracy, building data centre infrastructure and wooing top talent. The government is keen to build public trust in AI whilst reaffirming the UK’s standing as a global leader.
Multiple regulatory bodies are poised to benefit, including Ofgem, the Civil Aviation Authority and the Office of Nuclear Regeneration. The government’s £2.7 million boost for the sector is designed to develop regulator capability. This is being backed up by an AI assurance roadmap. This will see independent experts scrutinise AI systems to check their integrity.
A new AI Assurance Innovation Fund, worth £11 million, is also being launched, inviting applications from next spring. Its aim is to help businesses ‘futureproof’ the market and respond quickly to new developments in AI capabilities.
