"In October, the government set out its plan to establish an AI Growth Lab to drive AI adoption and make the UK more competitive. The AI Growth Lab is effectively a sandbox in which UK businesses would be able to safely test their AI products under relaxed regulatory conditions and without the risk of incurring penalties and damaging their reputation and customer trust."
"Some 60% of businesses are reluctant to adopt AI because of policy and regulatory hurdles, according to the UK government's Technology Adoption Review 2025. As technology secretary Liz Kendall explained at the launch of the initiative during the Times Tech Summit in October: "We want to remove the needless red tape that slows progress so we can drive growth and modernize the public services people rely on every day.""
Sixty percent of UK businesses express reluctance to adopt AI due to policy and regulatory hurdles identified in the Technology Adoption Review 2025. The government announced plans to create an AI Growth Lab as a regulatory sandbox to let firms test AI under relaxed rules without penalties or reputational damage. The initiative aims to remove red tape to drive growth and modernize public services. The UK has prior sandbox experience from the FCA fintech sandbox (2016), the MHRA medical devices sandbox (with ) and the ICO sandbox, and initial lab support will target advanced manufacturing, financial services, life sciences, and professional and business services.
Read at IT Pro
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