UK

HMRC got targeted in a £47 million UK fraud

A phishing scheme run by organised crime groups cost the UK government £47 million, according to officials from His Majesty’s Revenue and Customs.

Criminals posed as taxpayers to claim payments using fake or hijacked credentials. Rather than a cyberattack, the operation relied on impersonation and did not involve the theft of taxpayer data.

Angela MacDonald, HMRC’s deputy chief executive, confirmed to Parliament’s Treasury Committee that the fraud took place in 2024. The stolen funds were taken through three separate payments, though HMRC managed to block an additional £1.9 million attempt.

Officials began a cross-border criminal investigation soon after discovering the scam, which has led to arrests.

Around 100,000 PAYE accounts — typically used by employers for employee tax and national insurance payments — were either created fraudulently or accessed illegally.

Banks were also targeted through the use of HMRC-linked identity information. Customers first flagged the issue when they noticed unusual activity.

HMRC has shut down the fake accounts and removed false data as part of its response. John-Paul Marks, HMRC’s chief executive, assured the committee that the incident is now under control and contained. ‘That is a lot of money and unacceptable,’ MacDonald told MPs.

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AI copyright clash stalls UK data bill

A bitter standoff over AI and copyright has returned to the House of Lords, as ministers and peers clash over how to protect creative workers while fostering technological innovation.

At the centre of the debate is the proposed Data (Use and Access) Bill, which was expected to pass smoothly but is now stuck in parliamentary limbo due to growing resistance.

The bill would allow AI firms to access copyrighted material unless rights holders opt out, a proposal that many artists and peers believe threatens the UK’s £124bn creative industry.

Nearly 300 Lords have called for AI developers to disclose what content they use and seek licences instead of relying on blanket access. Former film director Baroness Kidron described the policy as ‘state-sanctioned theft’ and warned it would sacrifice British talent to benefit large tech companies.

Supporters of the bill, like former Meta executive Sir Nick Clegg, argue that forcing AI firms to seek individual permissions would severely damage the UK’s AI sector. The Department for Science, Innovation and Technology insists it will only consider changes if they are proven to benefit creators.

If no resolution is found, the bill risks being shelved entirely. That would also scrap unrelated proposals bundled into it, such as new NHS data-sharing rules and plans for a nationwide underground map.

Despite the bill’s wide scope, the fight over copyright remains its most divisive and emotionally charged feature.

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UK and EU strengthen maritime and cyber security

The UK and the EU have agreed to step up cooperation on cybersecurity as part of a wider defence and security pact.

The new framework, signed on 19 May, marks a major shift towards joint efforts in countering digital threats and hybrid warfare.

Instead of managing these challenges separately, the UK and EU will hold structured dialogues to address cyberattacks, disinformation campaigns, and other forms of foreign interference.

The deal outlines regular exchanges between national security officials, supported by thematic discussions focused on crisis response, infrastructure protection, and online misinformation.

A key aim is to boost resilience against hostile cyber activity by working together on detection, defence, and prevention strategies. The agreement encourages joint efforts to safeguard communication networks, protect energy grids, and strengthen public awareness against information manipulation.

The cooperation is expected to extend into coordinated drills and real-time threat sharing.

While the UK remains outside the EU’s political structure, the agreement positions it as a close cyber security partner.

Future plans include exploring deeper collaboration through EU defence projects and potentially forming a formal link with the European Defence Agency, ensuring that both sides can respond more effectively to emerging digital threats.

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Quantum computing partnership launches in Doha

Quantinuum and Al Rabban Capital have announced a new venture aimed at advancing quantum computing in Qatar and the region.

The partnership seeks to provide access to Quantinuum’s technologies, co-develop relevant quantum applications and train a new generation of developers.

This move aligns with Qatar’s ambition to become a hub for advanced technologies. Applications will focus on energy, medicine, genomics, and finance, with additional potential in emerging fields like Generative Quantum AI.

The venture builds on existing collaborations with Hamad Bin Khalifa University and the Qatar Center for Quantum Computing. Quantinuum’s expansion into Qatar follows growth across the US, UK, Europe, and Indo-Pacific.

Leaders from both organisations see this as a strategic milestone, strengthening technological ties between Qatar and the West. The joint venture not only supports national goals but also reflects rising global demand for quantum technologies.

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Jersey artists push back against AI art

A Jersey illustrator has spoken out against the growing use of AI-generated images, calling the trend ‘heartbreaking’ for artists who fear losing their livelihoods to technology.

Abi Overland, known for her intricate hand-drawn illustrations, said it was deeply concerning to see AI-created visuals being shared online without acknowledging their impact on human creators.

She warned that AI systems often rely on artists’ existing work for training, raising serious questions about copyright and fairness.

Overland stressed that these images are not simply a product of new tools but of years of human experience and emotion, something AI cannot replicate. She believes the increasing normalisation of AI content is dangerous and could discourage aspiring artists from entering the field.

Fellow Jersey illustrator Jamie Willow echoed the concern, saying many local companies are already replacing human work with AI outputs, undermining the value of art created with genuine emotional connection and moral integrity.

However, not everyone sees AI as a threat. Sebastian Lawson of Digital Jersey argued that artists could instead use AI to enhance their creativity rather than replace it. He insisted that human creators would always have an edge thanks to their unique insight and ability to convey meaning through their work.

The debate comes as the House of Lords recently blocked the UK government’s data bill for a second time, demanding stronger protections for artists and musicians against AI misuse.

Meanwhile, government officials have said they will not consider any copyright changes unless they are sure such moves would benefit creators as well as tech companies.

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Legal aid data breach affects UK applicants

The UK Ministry of Justice has confirmed a serious cyber-attack on its Legal Aid Agency, first detected on 23 April and revealed to be more extensive on 16 May. Investigators found that a wide range of personal details belonging to applicants dating back to 2010 were accessed.

The breach has prompted urgent security reviews and cooperation with the National Cyber Security Centre. Stolen information may include names, addresses, dates of birth, national ID numbers, criminal histories, employment records and financial data such as debts and contributions.

While the total number of affected individuals remains unconfirmed, publicly available figures suggest hundreds of thousands of applications across the last year alone. Victims have been urged to monitor for suspicious communications and to change passwords promptly.

UK Legal aid services have been taken offline as contingency measures are put in place to maintain support for vulnerable users. Jane Harbottle, CEO of the Legal Aid Agency, expressed regret over the incident and reassured applicants that efforts are underway to restore secure access.

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Half of young people would prefer life without the internet

Nearly half of UK youths aged 16 to 21 say they would prefer to grow up without the internet, a new survey reveals. The British Standards Institution found that 68% feel worse after using social media and half would support a digital curfew past 10 p.m.

These findings come as the government considers app usage limits for platforms like TikTok and Instagram. The study also showed that many UK young people feel compelled to hide their online behaviour: 42% admitted lying to parents, and a similar number have fake or burner accounts.

More worryingly, 27% said they have shared their location with strangers, while others admitted pretending to be someone else entirely. Experts argue that digital curfews alone won’t reduce exposure to online harms without broader safeguards in place.

Campaigners and charities are calling for urgent legislation that puts children’s safety before tech profits. The Molly Rose Foundation stressed the danger of algorithms pushing harmful content, while the NSPCC urged a shift towards less addictive and safer online spaces.

The majority of young people surveyed want more protection online and clearer action from tech firms and policymakers.

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Met Office and Microsoft debut AI-ready forecasting system

The UK’s Met Office has launched a new supercomputer designed to significantly improve weather and climate forecasting accuracy. Operated via Microsoft’s Azure cloud platform, it is the world’s first cloud-based supercomputer dedicated solely to weather and climate science.

Capable of performing 60 quadrillion calculations per second—more than four times faster than its predecessor—the system is expected to enhance 14-day forecasts, improve rainfall predictions, and offer better data for sectors like aviation and energy.

The infrastructure, split across two data centres in southern England, runs entirely on renewable energy. Originally announced in 2020 with a £1.2 billion UK government investment, the project faced delays due to COVID-19 and global supply chain disruptions.

Despite recent cyberattacks on UK institutions, Met Office officials say the new system has robust security and represents a major technological upgrade.

The Met Office also says the new system will support AI integration and provide better insights into climate change-related events, such as floods and wildfires.

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Lords reject UK AI copyright bill again

The UK government has suffered a second defeat in the House of Lords over its Data (Use and Access) Bill, as peers once again backed a copyright-focused amendment aimed at protecting artists from AI content scraping.

Baroness Kidron, a filmmaker and digital rights advocate, led the charge, accusing ministers of listening to the ‘sweet whisperings of Silicon Valley’ and allowing tech firms to ‘redefine theft’ by exploiting copyrighted material without permission.

Her amendment would force AI companies to disclose their training data sources and obtain consent from rights holders.

The government had previously rejected this amendment, arguing it would lead to ‘piecemeal’ legislation and pre-empt ongoing consultations.

But Kidron’s position was strongly supported across party lines, with peers calling the current AI practices ‘burglary’ and warning of catastrophic damage to the UK’s creative sector.

High-profile artists like Sir Elton John, Paul McCartney, Annie Lennox, and Kate Bush have condemned the government’s stance, with Sir Elton branding ministers ‘losers’ and accusing them of enabling theft.

Peers from Labour, the Lib Dems, the Conservatives, and the crossbenches united to defend UK copyright law, calling the government’s actions a betrayal of the country’s leadership in intellectual property rights.

Labour’s Lord Brennan warned against a ‘double standard’ for AI firms, while Lord Berkeley insisted immediate action was needed to prevent long-term harm.

Technology Minister Baroness Jones countered that no country has resolved the AI-copyright dilemma and warned that the amendment would only create more regulatory confusion.

Nonetheless, peers voted overwhelmingly in favour of Kidron’s proposal—287 to 118—sending the bill back to the Commons with a strengthened demand for transparency and copyright safeguards.

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Uber is ready for driverless taxis in the UK

Uber says it is fully prepared to launch driverless taxis in the UK, but the government has pushed back its timeline for approving fully autonomous vehicles.

The previous 2026 target has been shifted to the second half of 2027, despite rapid developments in self-driving technology already being trialled on British roads.

Currently, limited self-driving systems are legal so long as a human remains behind the wheel and responsible for the car.

Uber, which already runs robotaxis in the US and parts of Asia, is working with 18 tech firms—including UK-based Wayve—to expand the service. Wayve’s AI-driven vehicles were recently tested in central London, managing traffic, pedestrians and roadworks with no driver intervention.

Uber’s Andrew Macdonald said the technology is ready now, but regulatory support is still catching up. The government insists legislation will come in 2027 and is exploring short-term trials in the meantime.

Macdonald acknowledged safety concerns, noting incidents abroad, but argued autonomous vehicles could eventually prove safer than human drivers, based on early US data.

Beyond technology, the shift raises big questions around insurance, liability and jobs. The government sees a £42 billion industry with tens of thousands of new roles, but unions warn of social impacts for professional drivers.

Still, Uber sees a future where fewer people even bother to learn how to drive, because AI will do it for them.

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