The UK’s AI Dilemma

The UK government continues to express its ambition to lead the world in artificial intelligence (AI), promoting innovation, private sector investment and economic growth. However, for CIOs, CTOs and senior IT leaders across the public sector, a different reality is unfolding: a growing dilemma around how to adopt and govern AI responsibly in the absence of clear national legislation.

Despite repeated promises of consultation and future regulation, the UK currently has no comprehensive legal framework in place to guide the use of AI across public services. For organisations tasked with delivering transparent, accountable and equitable services, this delay is more than a policy gap, it’s a strategic challenge.

A Framework Without Force

The government’s current “pro-innovation” approach aims to empower existing regulators rather than introduce new laws. While this flexible strategy may appeal to fast-moving technology sectors, it presents significant issues for the public sector, where clarity, consistency and accountability are non-negotiable.

From health and social care to justice and local government, AI is already being deployed in high-stakes contexts. Without a legal framework to govern its use, public bodies are being left to interpret ethical and operational boundaries on their own. The dilemma is clear: how do you lead on innovation when the rules remain unwritten?

Looking Abroad: A Diverging Path

Other jurisdictions are moving with more certainty. The European Union’s new AI Act offers a structured, risk-based model with binding requirements, while the United States is laying the foundations for federal AI oversight through executive action and agency-level initiatives.

By comparison, the UK is taking a more cautious legislative route. But this divergence risks placing public sector organisations in a difficult position, especially when working with international suppliers or managing data that crosses borders.

The result? A dilemma where leaders are expected to embrace transformative technologies while also guarding against reputational, legal and ethical risks that are not yet clearly defined.

What’s at Stake

Without timely and coherent legislation, the public sector faces several key risks:

• Operational Uncertainty: IT and digital teams lack definitive guidance on acceptable AI use, increasing the complexity of both procurement and deployment.

• Erosion of Public Trust: AI used in decisions around welfare, policing or healthcare must meet high standards of fairness and transparency. The absence of legislation risks public backlash.

• Governance Gaps: Organisations are being forced to build internal frameworks in isolation, without the support of a shared legal or ethical standard.

• Compliance Complexity: Cross-border data sharing and collaboration bring obligations under foreign AI laws, even while the UK has yet to establish its own.

Leading Through the UK's AI Dilemma

Despite the legislative delay, public sector leaders are not powerless. In fact, this moment offers an opportunity to lead by example—setting high internal standards and preparing for a regulatory future that is all but inevitable.

Here are four proactive steps organisations can take now:

• Align with International Best Practices: Use frameworks like the EU AI Act and OECD AI Principles as reference points to guide policy and implementation.

• Embed Ethics into Procurement: Ensure AI tools meet clear criteria for fairness, explainability and accountability before they are adopted.

• Establish Governance and Oversight: Create internal review boards or ethics panels to evaluate new AI deployments and monitor ongoing use.

• Engage with Policy Development: Contribute to government consultations and collaborate with sector peers to influence the direction of future legislation.

Conclusion: Resolve the Dilemma, or Be Defined By It

The UK’s AI dilemma is not simply about technology; it’s about leadership. In the absence of legislation, public sector CIOs and CTOs are being asked to fill a policy vacuum, balancing innovation with risk in an uncertain environment.

While this offers a chance to lead responsibly, it also highlights the need for urgent national clarity. The longer the government delays action, the greater the burden on public bodies to self-regulate and self-protect.

At Certes IT Service Solutions, we work with public sector organisations to navigate this complex space, bringing governance, insight and compliance to the forefront of AI adoption. The dilemma may be real, but with the right leadership, it can be managed.