The U.K. government has put forward proposals to regulate artificial intelligence (AI) technology which it says will increase the growth of AI in the country while countering potential risks of the technology to society.
In a white paper presented to the parliament, the Department for Science, Innovation, and Technology (DSIT) outlined six core principles it wants companies to adhere to. They are fairness, redress or contestability, safety, transparency and expandability, accountability and governance, and security and robustness.
The UK government said, “Over the next twelve months, regulators will issue practical guidance to organizations, as well as other tools and resources like risk assessment templates, to set out how to implement these principles in their sectors. When parliamentary time allows, legislation could be introduced to ensure regulators consider the principles consistently”.
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The proposals put forward will focus on supporting growth and avoiding unnecessary barriers being placed on businesses. This could see businesses divulge information about how they test their AI’s reliability as well as following guidance set by the UK government to ensure safe and efficient use of the AI technology
Also speaking on the regulation of AI, UK Digital Minister Damian Collins said,
“We want to make sure the UK has the right rules to empower businesses and protect people as AI and the use of data keep changing the ways we live and work. It is vital that our rules offer clarity to businesses, confidence to investors, and boost public trust. Our flexible approach will help us shape the future of AI and cement our global position as science and tech superpower”.
The U.K. government recognizes that regulators will need access to the necessary skills and expertise to effectively regulate AI. While many UK regulators have already commenced taking action to support the responsible use of AI, the policy paper highlights some of the recent problems faced by businesses, which include overlaps, a lack of clarity, and inconsistency between different regulators.
The government wants companies that incorporate AI into their businesses to ensure they provide enough level of transparency about how their algorithms are developed and used. This implies that businesses are mandated to explain when and how AI is used, also explaining its decision-making process at an appropriate level.
Following the proposal presented to the parliament by the UK government, businesses are mandated to implement a few things which are;
- Businesses should review their internal AI strategy and the proposed principles and consider what steps they will need to align the strategy with the new regulatory frameworks.
- Businesses that make use of AI in the UK should go through the white paper and stay updated on announcements from regulators about how they will interpret, implement and enforce the cross-sectoral principles.
- Business leaders should consider who is responsible for AI governance and risk management strategy within their organization.
The rollout of regulations on AI is timely, owing to the fact that the technology has driven a wave of demand for the technology, which has seen widespread adoption in schools, and workplaces and if not regulated can pose a big risk.
Experts have also expressed concerns about the negative impact the technology can pose to the public, which includes heightened plagiarism, discrimination against women, and ethnic majorities. Fears have also been raised about the possibility of AI displacing thousands of jobs which will lead to a significant increase in job loss in different industries.
In a 2022 report, it is revealed that around 15% of all businesses in the UK have adopted at least one AI technology, which translates to 432,000 companies. Around 2% of businesses are currently piloting AI and 10% plan to adopt at least one AI technology in the future, equating to 62,000 and 292,000 businesses respectively.
Analysts predict that the UK GDP could be up to 10.3% higher in 2030 as a result of AI. The bulk of these impacts will come from consumption-side product enhancements, which stimulate consumption but most importantly bring about more consumer choice and more affordable, bespoke goods over time as a result.