Google Cloud Research Maps AI Savings for Public Sector

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Google Cloud found AI could be the key to unlocking a more efficient public sector
Research from Public First indicates AI deployment could generate £38bn in annual savings across British government services by 2030

Google Cloud has released research suggesting AI could transform Britain’s public sector through automation of administrative tasks and improved service delivery, as public services face mounting pressure from budget constraints and staffing shortages.

“From stretched budgets and staff shortages to growing waiting lists, public services are under immense pressure,” says Iain Burgess, Director of Public Sector, UKI at Google Cloud. “The transformative power of AI, cybersecurity and data analytics can address critical challenges across the UK public sector.”

Iain Burgess, Director of Public Sector, UKI at Google Cloud

The findings, presented at Google Cloud's Public Sector Summit in London, indicate that generative AI could automate up to one-third of daily public sector tasks. 

Google Cloud research: AI’s workforce impact

The report by Public First, a policy research firm, surveyed 415 public sector workers and found that AI deployment could generate £38 billion in yearly savings by 2030. These savings would come from automating records management and data processing tasks, allowing staff to focus on complex work requiring human judgment.

Key facts
  • AI automation in UK public sector could deliver £38 billion in annual savings by 2030
  • Only 12% of public sector managers have significantly deployed AI tools
  • AI implementation could free up resources equivalent to 160,000 police officers

In policing, the research suggests AI adoption for administrative work could free capacity equivalent to 160,000 officers. In healthcare, automation could create capacity for 3.7 million additional GP appointments weekly. These figures represent significant potential improvements in service delivery across critical public sectors.

“By streamlining administrative tasks and improving efficiency, AI could lead to better and faster service delivery for the public,” Iain says. “Public sector workers themselves consider efficiency and the automation of repetitive tasks to be the strongest arguments in favour of using AI.”

 

Building trust and transparency in AI implementation is crucial for its successful adoption in the UK public sector

Iain Burgess, Director of Public Sector, UKI at Google Cloud

The research also reveals a gap between recognition of AI’s potential and current implementation. While two-thirds of public administration managers believe AI will permanently change operations, only 12% report significant AI tool deployment. This disparity suggests substantial room for growth in AI adoption across government services.

Implementation barriers

The research highlights several obstacles to AI adoption in government services. Only 34% of public administration managers express confidence in their workforce’s AI capabilities, indicating a significant skills gap that requires addressing through training and development programmes.

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Data infrastructure presents another challenge, with 55% of managers indicating they need access to different or improved data structures to utilise AI effectively. This suggests requirements for substantial updates to existing government IT systems and data management processes.

“Building trust and transparency in AI implementation is crucial for its successful adoption in the UK public sector,” Iain notes. He emphasises that concerns around data security and legal implications remain significant barriers to adoption.

Legal and regulatory concerns persist as significant barriers to adoption, with 60% of managers citing these as obstacles to expanded AI use. The findings emphasise requirements for data security protocols and clarity around legal responsibilities, particularly regarding sensitive public sector information.

Peter Kyle MP, Secretary of State for Science, Innovation and Technology

Peter Kyle MP, Secretary of State for Science, Innovation and Technology, says: “Today we have an opportunity to drive forward public service reform by empowering citizens with the information and tools they need to make better choices and hold services to account. 

“Now the digital centre of government, my department is testing how we can put AI to work in the public sector, whether that's speeding up finding information on GOV.UK or empowering teachers by reducing administrative burdens, allowing them to dedicate more time to what they do best.”


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