A new Social Market Foundation report reveals the potential for significant savings and enhanced efficiency in UK government departments through the implementation of AI technologies.
A recent report from the Social Market Foundation has highlighted the potential for significant time and cost savings through the use of artificial intelligence (AI) and automation in two major UK government departments, the Department for Work and Pensions (DWP) and HM Revenue and Customs (HMRC). The document stresses the importance of empowering the Department for Science, Innovation and Technology (DSIT) to lead a strategic approach to AI and automation across the public sector.
The report indicates that citizens in the UK spent an astounding 6,895 working years on phone calls to the DWP and HMRC in the fiscal year 2022-23. The analysis suggests that approximately two-thirds of these interactions could be automated, indicating the potential to save around 8.12 million hours, or more than 4,300 working years. This estimate is based on case studies from other sectors where AI and automation have already streamlined processes.
The study explores various other scenarios where automation could foster efficiency. One such example is the Driving and Vehicle Licensing Authority (DVLA), which experienced delays in processing medical-licensing decisions; more than 200,000 decisions, equating to nearly 20% of the total, took more than 90 days to complete in 2023. The report argues that employing AI technologies, such as optical character recognition (OCR) for document management, could significantly enhance operational speed and reduce wait times for citizens.
While the potential benefits of adopting AI and automation are evident, the report identifies numerous “structural impediments” within the civil service. Challenges include a general aversion to change, difficulties in scaling successful pilot projects, and a lack of both institutional expertise and capacity to implement these technologies effectively. Financial barriers are also notable, as there seems to be a reluctance to invest in training or resources for long-term AI projects.
The Social Market Foundation advocates for a restructured role for the DSIT, suggesting it become a “one-stop shop” for AI and automation needs across the public sector. The report proposes the appointment of a director-level head of citizen experience to oversee the automation strategies of various departments. This could help to streamline processes and cut down on unnecessary duplication in citizen services.
In addition, the report outlines the necessity for DSIT to create a “data academy” aimed at developing AI and automation skills among civil servants. By providing centralised resources and evidence on the effectiveness of existing AI and automation initiatives, DSIT would be in a position to guide departments on best practices for implementation and evaluation.
The recommendations extend to a cultural shift within government departments, where the appointment of dedicated automation leads is suggested. These leads would focus on identifying automation opportunities and tracking the progress of initiatives. Furthermore, the report argues for a streamlined business case process to support easier funding approvals, fostering an “invest to save” culture that could allow departments to reinvest immediate savings into further automation projects.
The report’s conclusions suggest a systemic approach where departments are required to evaluate both the risks posed by adopting new technologies and the potential consequences of retaining outdated processes. By doing so, government entities may be better positioned to capitalise on the efficiencies offered by AI and automation, ultimately enhancing service delivery for UK citizens.
Source: Noah Wire Services
- https://www.smf.co.uk/beat-the-8-am-gp-rush-get-ai-to-book-gp-appointments-think-tank-finds/ – Corroborates the potential for significant time and cost savings through AI and automation in UK government departments, including DWP and HMRC, and highlights the role of DSIT in leading a strategic approach.
- https://www.smf.co.uk/beat-the-8-am-gp-rush-get-ai-to-book-gp-appointments-think-tank-finds/ – Supports the estimate of 8.12 million hours or more than 4,300 working years that could be saved through automation, based on case studies from other sectors.
- https://www.smf.co.uk/beat-the-8-am-gp-rush-get-ai-to-book-gp-appointments-think-tank-finds/ – Details the potential for AI to enhance operational speed and reduce wait times at the DVLA, including the use of optical character recognition (OCR) for document management.
- https://www.smf.co.uk/beat-the-8-am-gp-rush-get-ai-to-book-gp-appointments-think-tank-finds/ – Discusses the structural impediments within the civil service, including aversion to change, scaling issues, lack of expertise, and financial barriers to implementing AI and automation.
- https://www.smf.co.uk/beat-the-8-am-gp-rush-get-ai-to-book-gp-appointments-think-tank-finds/ – Advocates for a restructured role for DSIT as a ‘one-stop shop’ for AI and automation needs and proposes the appointment of a director-level head of citizen experience.
- https://www.smf.co.uk/beat-the-8-am-gp-rush-get-ai-to-book-gp-appointments-think-tank-finds/ – Outlines the necessity for DSIT to create a ‘data academy’ to develop AI and automation skills among civil servants and provide centralized resources and evidence.
- https://www.smf.co.uk/beat-the-8-am-gp-rush-get-ai-to-book-gp-appointments-think-tank-finds/ – Suggests the appointment of dedicated automation leads to identify opportunities and track the progress of initiatives, and advocates for a streamlined business case process.
- https://www.gov.uk/government/publications/artificial-intelligence-sector-study-2023/artificial-intelligence-sector-study-2023 – Supports the broader context of AI adoption in the UK public sector, highlighting the government’s commitment to using AI to enhance public services and drive economic growth.
- https://www.gov.uk/government/publications/artificial-intelligence-sector-study-2023/artificial-intelligence-sector-study-2023 – Provides details on the UK’s AI sector, including the number of AI companies, revenues, and employment, which underpins the potential for AI to transform public services.
- https://www.smf.co.uk/publications/ai-use-in-uk-public-services/ – Corroborates the report’s conclusions on the systemic approach needed for evaluating risks and consequences of adopting new technologies and retaining outdated processes in government departments.
- https://www.smf.co.uk/publications/ai-use-in-uk-public-services/ – Supports the overall recommendation for a cultural shift within government departments to capitalize on the efficiencies offered by AI and automation.












