Spending Review: £2bn to back AI action plan

11/06/2025 | GEORGE BARKER

Spending Review: £2bn to back AI action plan

Chancellor of the Exchequer Rachel Reeves announced £2bn in funding to support the Government’s artificial intelligence (AI) action plan in her spending review speech.

The Government has allocated £2bn for AI from 2026-27 to 2029-30. The cash will cover a '20-fold expansion of the UK’s AI Research Resource', helping to further fund research into new AI technologies, the Treasury said.

It will also support collaboration between UK businesses and universities to develop new AI courses, launch new AI fellowships and establish a new AI talent scholarship. There are plans to create a new AI Adoption fund for the public sector.

The cash will also directly fund public services departments to ‘build strong digital and technology foundations’, to modernise public service delivery and to overhaul government productivity and efficiency.

An uplift of £1.2bn total departmental expenditure limit (DEL) investment is being provided to the Deportment for Science, Innovation and Technology (DSIT), with a focus on digital public infrastructure and modernising public services through the power of AI.

Ministers also hope to scale the ‘most promising opportunities’ in AI in the public sector, such as making faster planning decision and increasing productivity.

This announcement comes on the heels of the Department for Transport (DfT) publishing its Transport AI action plan, which outlines plans to secure the UK’s position at the ‘forefront of transport-related AI applications’.

This SR has also prioritised research and development (R&D), with an increase in funding to £22.6bn by 2029/30.

The Government said this increase will deliver £500m for the new R&D Missions Accelerator Programme, at least £1bn over to scale up the Advanced Research and Invention Agency (ARIA) and up to £750m for a new supercomputer at Edinburgh University.

The Government is also launching a new £410m Local Innovation Partnerships Fund, which will give local leaders a ‘central role’ in co-creating R&D programmes to support local economies.

Image credit: Shutterstock @TippaPatt

Highways InProfile

latest magazine issue
Highways jobs

Director of Transport

£112,924
East Midlands Combined County Authority (EMCCA) is on a bold journey. East Midlands Region
Recruiter: East Midlands Combined County Authority

Highways Network Engineer - WMF2169e

£45,091 - £46,142
This position offers a unique opportunity to make a lasting impact on the resilience and effectiveness of our highway network. Kendal,Penrith or Barrow
Recruiter: Westmorland and Furness Council

Highway Network Technician - WMF2168e

£28,598 - £29,540
This role offers an excellent opportunity to gain experience in a specialised area of highways operations while contributing directly Kendal, Penrith or Barrow
Recruiter: Westmorland and Furness Council

Ferry Host - WMF3049i

£25,584 - £25,992
Ferry Host - WMF3049i Windermere, Cumbria
Recruiter: Westmorland and Furness Council

Director of Streetscene

£94,972 - £108,767
We continue to have big ambitions for our borough Fareham, Hampshire
Recruiter: Fareham Borough Council

Principal Engineer - Urban Traffic Control (UTC)

£44,711 - £49,764
Liverpool is home to vibrant, energetic and engaged communities. Liverpool, Merseyside
Recruiter: Liverpool City Council

Lawyer 2- Planning and Highways

£49,764 - £54,181
We are looking for a fresh thinking and enthusiastic Planning and Highways Lawyer Hereford, Herefordshire
Recruiter: Herefordshire Council

Development Engineer

£35,967 - £41,268 per annum
Are you ready to play a key role in shaping and safeguarding the future of our highways and public spaces? Bexley (City/Town), London (Greater)
Recruiter: London Borough of Bexley

Professional Services Partnering Manager

Grade 13 £47,653 - £51,296 per annum (pay award pending)
We are seeking a dynamic and experienced Professional Services Partnering Manager to lead the strategic management Darley Dale, Matlock
Recruiter: Derbyshire County Council

Technical Supervision Manager

Grade 13 £47,653 - £51,296 per annum (pay award pending)
We are looking for an experienced and driven Technical Supervision Manager to lead our technical supervision teams within the Highways Service. Derbyshire
Recruiter: Derbyshire County Council

Street Lighting Electrician (CDC)

Grade 8, £32,662 - £36,239 (pay award pending)
Highways Operations is a growing service area within the Place directorate. Doncaster, South Yorkshire
Recruiter: City Of Doncaster Council

Highways Assistant Engineer WMF2133e

£39,513 to £40,476
We have an exciting opportunity for the right person to work within the challenging and ever-changing landscape. Penrith, Cumbria
Recruiter: Westmorland and Furness Council

Highways Inspector/NRSWA

£36,345 - £40,344
We are looking for an organised and self-motivated individual to join our Streetworks Team based in Hackney Central. Hackney, London (Greater)
Recruiter: London Borough of Hackney Council

Structures Commissioner

Grade 14 £53,166 - £59,080 per annum (Pay Award Pending)
We are seeking an experienced and strategic leader to join our team as the Structures Commissioner. Derbyshire
Recruiter: Derbyshire County Council

PRINCIPAL TRANSPORT PLANNING OFFICER

£43693 - £46731
We have an exciting opportunity for an experienced professional to join our team in Hull as a Principal Transport Planning Officer. Kingston upon Hull, East Riding of Yorkshire
Recruiter: Hull City Council

HIGHWAYS AND TRAFFIC ENGINEER - 4 POSTS

£43693 - £46731
We have several exciting opportunities for suitably qualified Highways Civil Engineers and Traffic Engineers Wilson Centre, 1st floor, Hull HU1 2AG
Recruiter: Hull City Council

Project Lead - Bridges and Structures WMF3037e

£45,718 to £46,731
We are currently seeking to recruit a Project Lead to join our Bridges and Structures team Kendal, Cumbria
Recruiter: Westmorland and Furness Council
SUBSCRIBE NOW

Latest Video

Subscribe to Highways today to ensure you keep your finger on the pulse of everything happening in the UK road network throughout the year.

SUBSCRIBE NOW