AI could save the public sector billions – if it is willing to open up


  • Generative AI could save the public sector billions over the next five years
  • More routine tasks can be automated to free up time for creatives
  • More than half of public sector jobs will change in some way in the coming years

New research has found that the UK public sector could save billions in spending by fully embracing generative AI technology.

The ‘AI & the public sector’ commissioned by Google Cloud has highlighted the ways in which the public sector can save around £38 billion over the next five years by increasing GenAI adoption.

Perhaps unsurprisingly, the report predicts that ‘automating routine tasks’ will be the future of AI tools in the workplace, and that more than a third of daily tasks in the public sector could be performed by generative AI.

A new way forward

The report rightly points out that many public sector organizations are under significant pressure: 61% of public administration workers are overworked, and 70% of respondents agree that employee morale has fallen.

To counter this, generative AI solutions should be embraced by public organizations, the report suggests. Currently, only 12% of public administrators say they have deployed AI tools to any significant extent.

By letting generative AI automate administrative work, the public sector could achieve an additional 3.7 million GP appointments, the equivalent of 160,000 police officers, and a 16% increase in the student to teacher ratio – a cumulative value of £358 billion in 2034. This would be released. According to the report, this is an increase of 8.3% of the budget for reinvestment in our public services.

“Now the government’s digital hub, 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 spend more time doing what they do best,” said UK Technology Secretary Peter Kyle.

Task enlargement

More than half of public sector jobs (56%) are likely to be ‘enlarged’ in some way by the adoption of AI, the report claims, optimistically predicting that workers will have more time for creative focus.

Even with full AI implementation, the report estimates that 38% of functions are ‘isolated’ and will not be affected by AI adoption due to their inherent sensitivity. The remaining 6% of jobs will be ‘displaced’ or gradually disappear.

However, Google Cloud says demand for public sector workers will grow, so displaced workers will simply be reassigned to new roles. This is consistent with other recent studies, which have shown, for example, that IT service desks are ‘dying out’.

Early stages of adoption

The research shows that there are barriers to AI implementation that need to be addressed before the public sector is ready to embrace AI. Applicability is part of healthcare, with more than half of respondents (55%) agreeing that they need different or better structured data sets to use AI effectively.

Many workers are also unsure about the safety, legal obligations and costs of AI tools, and before workplaces can fully benefit from AI, more education is needed, as over a third (34%) say they don’t have the skills to to benefit from this. of AI technology yet.

There are also major concerns about the reliability of AI output, but Google Cloud assures that these concerns “will likely resolve themselves as the technology matures.”

Governments taking the lead

Google Cloud has identified AI adoption in the public sector as a key driver for broader AI adoption across industries. As part of the government’s commitments to use AI in public services, organizations must conduct AI adoption assessments in key sectors such as healthcare, transport and education.

This allows agencies to identify barriers to AI deployment and address any obstacles. Procurement teams need to be empowered and upskilled on the importance of AI adoption so they can effectively assess their needs.

An overhaul of government IT systems is needed to implement AI efficiently, Google Cloud says. Older IT systems, data storage capacity and a lack of advanced cloud data analytics are all hindering the development of AI in the public sector, the report says.

Untold costs

What the report does not address is the cost of generative AI adoption. The costs are multifaceted, with AI requiring a huge amount of energy to run, as well as a huge amount of water to cool high-end hardware.

The AI ​​industry is already in the midst of a serious sustainability crisis, so large-scale adoption in both the public and private sectors could have disastrous consequences for climate protection goals.

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