The UK government has scrapped £1.3 billion ($1.7 billion) in computing infrastructure projects, dealing a major blow to its aspirations to lead in artificial intelligence.
A government spokesperson confirmed the cancellation of two major taxpayer-funded commitments: a £500 million AI Research Resource initiative and an £800 million exascale computer project at the University of Edinburgh.
These projects were set to enhance the UK’s high-performance computing infrastructure, crucial for running advanced AI models that demand significant power and data.
The decision comes as the Labour government, newly in power, reassesses fiscal priorities amidst substantial budget constraints. The cancelled initiatives were part of a broader strategy under former Prime Minister Rishi Sunak, who aimed to position the UK as a global AI leader.
The Labour administration, facing a £22 billion ($28 billion) budget gap from the previous government, is redirecting funds to stabilize the economy and support growth.
Despite the setbacks, the UK government remains committed to advancing technology infrastructure and plans to review AI and tech strategies through upcoming consultations. This includes potential regulatory frameworks for AI, which were anticipated in a recent speech by King Charles III but have not yet materialized.
The shift in priorities highlights ongoing challenges and adjustments in the UK’s approach to emerging technologies and economic stability.
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