UK

Sainsbury’s ejects shopper after facial recognition misidentification

A data professional, Warren Rajah, was escorted out of a Sainsbury’s supermarket in south London after staff incorrectly believed he matched an offender flagged by Facewatch facial recognition technology.

Facewatch later confirmed that there were no alerts or records associated with him, and Sainsbury’s attributed the incident to human error rather than a software fault.

Rajah described the experience as humiliating and ‘Orwellian’, criticising the lack of explanation, absence of a transparent appeals process, and the requirement to submit personal identification to a third party to prove he was not flagged.

He expressed particular concern about the impact such incidents could have on vulnerable customers.

The case highlights broader debates around the deployment of facial recognition in retail, where companies cite reductions in theft and abuse. At the same time, civil liberties groups warn of misidentification, insufficient staff training and the normalisation of privatised biometric surveillance.

UK regulators have reiterated that retailers must assess misidentification risks and ensure robust safeguards when processing biometric data.

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AI rollout gains momentum through UK’s Tech Town initiative

UK policymakers are advancing a national strategy to expand the use of AI across public services and the wider economy. The goal is to improve productivity, education, and service delivery while building public confidence in the practical benefits of AI.

As part of this approach, Barnsley has been designated as the UK’s first ‘Tech Town’. The South Yorkshire town will act as a pilot site and blueprint for how AI can be deployed locally and scaled nationwide.

AI integration in Barnsley will focus on public services such as schools and NHS facilities. These applications are intended to show how the technology can support learning, enhance efficiency, and improve service outcomes.

Alongside deployment, skills development and job creation are central to the initiative. Training schemes and AI-focused roles are expected to build local talent and support the government’s AI Opportunities Action Plan.

Delivery of the programme will rely on collaboration between central government, local authorities, public sector workers, and industry partners. Major technology firms, including Microsoft and Cisco, have indicated support, highlighting the role of public–private cooperation in scaling AI adoption.

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UK hospital taps AI to optimise workforce planning and relieve admin burden

In a collaboration between Alder Hey Children’s NHS Foundation Trust and the Science and Technology Facilities Council’s Hartree Centre, a new AI-based staff scheduling system has been developed to address the complex task of roster planning in one of Europe’s busiest children’s hospitals.

Clinicians traditionally spend substantial time creating rotas manually, juggling annual leave, absences, working patterns and on-call rules.

The AI system automatically generates balanced on-call schedules by incorporating real-world constraints such as staff skills, availability and patterns, producing fairer and more predictable rotas.

The interface allows clinicians to review and adjust schedules while maintaining human oversight, freeing up time previously spent on spreadsheets and administrative tasks, and potentially improving staff wellbeing and operational efficiency.

Future phases aim to expand the tool toward full workforce management, with the potential for NHS-wide scaling.

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New AI safety report highlights control concerns

A major international AI safety report warns that AI systems are advancing rapidly, with sharp gains in reasoning, coding and scientific tasks. Researchers say progress remains uneven, leaving systems powerful yet unreliable.

The report highlights rising concerns over deepfakes, cyber misuse and emotional reliance on AI companions in the UK and the US. Experts note growing difficulty in distinguishing AI generated content from human work.

Safeguards against biological, chemical and cyber risks have improved, though oversight challenges persist in the UK and the US. Analysts warn advanced models are becoming better at evading evaluation and controls.

The impact of AI on jobs in the UK and the US remains uncertain, with mixed evidence across sectors. Researchers say labour disruption could accelerate if systems gain greater autonomy.

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New UK–Bulgaria partnership boosts semiconductor innovation

The UK and Bulgaria are expanding cooperation on semiconductor technology to strengthen supply chains and support Europe’s growing need for advanced materials.

A partnership that links British expertise with the ambitions of Bulgaria under the EU Chips Act 2023, creating opportunities for investment, innovation and skills development.

The Science and Technology Network has acted as a bridge between both countries by bringing together government, industry and academia. A high-level roundtable in Sofia, a study visit to Scotland and a trade mission to Bulgaria encouraged firms and institutions to explore new partnerships.

These exchanges helped shape joint projects and paved the way for shared training programmes.

Several concrete outcomes have followed. A €350 million Green Silicon Carbide wafer factory is moving ahead, supported by significant UK export wins.

Universities in Glasgow and Sofia have signed a research memorandum, while TechWorks UK and Bulgaria’s BASEL have agreed on an industry partnership. The next phase is expected to focus on launching the new factory, deepening research cooperation and expanding skills initiatives.

Bulgaria’s fast-growing electronics and automotive sectors have strengthened its position as a key European manufacturing hub. The country produces most sensors used in European cars and hosts modern research centres and smart factories.

The combined effect of the EU funding, national investment and international collaboration is helping Bulgaria secure a prominent role in Europe’s semiconductor supply chain.

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AI news needs ‘nutrition labels’, UK think tank says amid concerns over gatekeepers

A leading British think tank has urged the government to introduce ‘nutrition labels’ for AI-generated news, arguing that clearer rules are needed as AI becomes a dominant source of information.

The Institute for Public Policy Research said AI firms are increasingly acting as new gatekeepers of the internet and must pay publishers for the journalism that shapes their output.

The group recommended standardised labels showing which sources underpin AI-generated answers, instead of leaving users unsure about the origin or reliability of the material they read.

It also called for a formal licensing system in the UK that would allow publishers to negotiate directly with technology companies over the use of their content. The move comes as a growing share of the public turns to AI for news, while Google’s AI summaries reach billions each month.

IPPR’s study found that some AI platforms rely heavily on content from outlets with licensing agreements, such as the Guardian and the Financial Times, while others, like the BBC, appear far less often due to restrictions on scraping.

The think tank warned that such patterns could weaken media plurality by sidelining local and smaller publishers instead of supporting a balanced ecosystem. It added that Google’s search summaries have already reduced traffic to news websites by providing answers before users click through.

The report said public funding should help sustain investigative and local journalism as AI tools expand. OpenAI responded that its products highlight sources and provide links to publishers, arguing that careful design can strengthen trust in the information people see online.

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UK survey shows fewer crypto investors but larger holdings

Financial Conduct Authority research shows UK crypto ownership has declined even as Bitcoin prices surged. Adult participation fell from 12% in 2024 to 8% in the latest survey, equal to about 4.6 million people, although levels remain double those recorded in 2021.

A closer look suggests consolidation rather than collapse. Investors who stayed in the market are committing more capital, with higher-value portfolios becoming more common as retail activity gives way to institutional demand and Bitcoin ETF inflows.

Participants’ knowledge levels are improving. The regulator notes that active investors are more risk-aware and better informed, with ownership skewed towards men aged 18–34 from higher-income demographics and ethnic minority backgrounds.

Bitcoin retains the strongest recognition at 79%, while 57% of current investors hold BTC, a gradual year-on-year increase. Ether ownership stands at 43%, Dogecoin appears in 20% of portfolios, and awareness of newer altcoins remains limited, according to CoinMarketCap.

Stablecoin recognition has risen to 53%, reflecting broader discussion around payments and regulation.

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AI companions raise growing ethical and mental health concerns

AI companions are increasingly being used for emotional support and social interaction, moving beyond novelty into mainstream use. Research shows that around one in three UK adults engage with AI for companionship, while teenagers and young adults represent some of the most intensive users of these systems.

However, the growing use of AI companions has raised serious mental health and safety concerns. In the United States, several cases have linked AI companions to suicides, prompting increased scrutiny of how these systems respond to vulnerable users.

As a result, regulatory pressure and legal action have increased. Some AI companion providers have restricted access for minors, while lawsuits have been filed against companies accused of failing to provide adequate safeguards. Developers say they are improving training and safety mechanisms, including better detection of mental distress and redirection to real-world support, though implementation varies across platforms.

At the same time, evidence suggests that AI companions can offer perceived benefits. Users report feeling understood, receiving coping advice, and accessing non-judgemental support. For some young users, AI conversations are described as more immediately satisfying than interactions with peers, especially during emotionally difficult moments.

Nevertheless, experts warn that heavy reliance on AI companionship may affect social development and human relationships. Concerns include reduced preparedness for real-world interactions, emotional dependency, and distorted expectations of empathy and reciprocity.

Overall, researchers say AI companionship is a growing societal trend, raising ethical and psychological concerns and intensifying calls for stronger safeguards, especially for minors and vulnerable users.

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UK minister signals interest in universal basic income amid rising AI job disruption

Jason Stockwood, the UK investment minister, has suggested that a universal basic income could help protect workers as AI reshapes the labour market.

He argued that rapid advances in automation will cause disruptive shifts across several sectors, meaning the country must explore safety mechanisms rather than allowing sudden job losses to deepen inequality. He added that workers will need long-term retraining pathways as roles disappear.

Concern about the economic impact of AI continues to intensify.

Research by Morgan Stanley indicates that the UK is losing more jobs than it is creating because of automation and is being affected more severely than other major economies.

Warnings from London’s mayor, Sadiq Khan and senior global business figures, including JP Morgan’s chief executive Jamie Dimon, point to the risk of mass unemployment unless governments and companies step in with support.

Stockwood confirmed that a universal basic income is not part of formal government policy, although he said people inside government are discussing the idea.

He took up his post in September after a long career in the technology sector, including senior roles at Match.com, Lastminute.com and Travelocity, as well as leading a significant sale of Simply Business.

Additionally, Stockwood said he no longer pushes for stronger wealth-tax measures, but he criticised wealthy individuals who seek to minimise their contributions to public finances. He suggested that those who prioritise tax avoidance lack commitment to their communities and the country’s long-term success.

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UK expands free AI training to reach 10 million workers by 2030

The government has expanded the UK joint industry programme offering free AI training to every adult, with the ambition of upskilling 10 million workers by 2030.

Newly benchmarked courses are available through the AI Skills Hub, giving people practical workplace skills while supporting Britain’s aim to become the fastest AI adopter in the G7.

The programme includes short online courses that teach workers in the UK how to use basic AI tools for everyday tasks such as drafting text, managing content and reducing administrative workloads.

Participants who complete approved training receive a government-backed virtual AI foundations badge, setting a national standard for AI capability across sectors.

Public sector staff, including NHS and local government employees, are among the groups targeted as the initiative expands.

Ministers also announced £27 million in funding to support local tech jobs, graduate traineeships and professional practice courses, alongside the launch of a new cross-government unit to monitor AI’s impact on jobs and labour markets.

Officials argue that widening access to AI skills will boost productivity, support economic growth and help workers adapt to technological change. The programme builds on existing digital skills initiatives and brings together government, industry and trade unions to shape a fair and resilient future of work.

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