The rise of artificial intelligence (AI) has been met with both excitement and anxiety – a blend of optimism about what could be achieved and unease about what might go wrong
For every bold promise of faster discovery, fairer systems and more efficient public services, there are stories of bias, opacity and overreach. We’ve seen AI tools in recruitment perpetuate inequality, and algorithmic systems in welfare and policing deepen discrimination rather than dismantle it.
The question is not whether technology will reshape government and public services – it already has, and will continue to do so – but how we harness it to make government better: more efficient, fairer, more responsive, and ultimately more trusted.
Data as national infrastructure
At the Open Data Institute (ODI), our starting point is simple: data and AI should be treated as public infrastructure. Like roads, railways or the NHS, data systems need to be built, maintained and governed in the public interest. When data is fragmented, outdated or locked away, everything built on it becomes weaker. But when it’s accessible, interoperable and stewarded well, it can drive innovation, efficiency and trust.
You can see that principle in practice through OpenActive, the open data standards for physical activity. Sport England and the National Lottery funded the creation of these standards, and they are stewarded by the Open Data Institute (ODI). This marks a quiet revolution in how physical activity data is shared. It connects thousands of leisure operators, local authorities and technology platforms, creating millions of discoverable opportunities every month.
Our Data Infrastructure for a Healthy Nation white paper shows how this kind of data infrastructure could transform preventative health – a key pillar of the government’s 10 Year Health Plan for England. Integrated into NHS systems, OpenActive could enable GPs to prescribe exercise directly – a simple example of how open data can reduce pressure on the health service, improve wellbeing and save money. In a pilot, OpenActive saved social prescribing link workers up to 50% of their time. Imagine if the same standards existed across volunteering, education or social care – an ecosystem where citizens could easily find and access the right community services, anywhere in the UK.
Lessons from Open Banking
The story of open banking shows us what’s possible when data standards are opened up responsibly, and when we reap the benefits of smart data. This enables consumers and small businesses to access and share their data with trusted third parties who can, in turn, offer them innovative services.
Ten years ago, the financial sector was dominated by a few big players. Today, millions of people – often without realising it – use open banking every day through apps like Monzo, Revolut and others. Through the use of smart data, open banking democratised access to financial services. It unleashed a wave of innovation, allowing people to use apps that help them save, borrow and invest more wisely.
That same model could underpin unlocking the potential of data and AI in sectors from transport to employment and education. At the ODI, we’ve seen how this could work first-hand with pilot projects, including our research and report on the cost of living crisis. This work links data about household income, housing, debt and fuel expenses to create tools that could help local authorities target support more effectively. When combined, smart data and standardised open data could fuel new apps to help households save, plan and build financial resilience. But unlocking that potential depends on creating the right systems of trust, assurance and stewardship – not just regulation.
Why so many digital reforms fall short
Too often, government digital initiatives fail to deliver the results people expect. The problem is rarely the technology itself – it’s the lack of shared infrastructure, the siloed delivery, and the absence of investment in winning people’s trust.
Frontline staff and citizens will only use new systems if they are transparent, accessible, and demonstrably make life easier. People will be more likely to share their data if they know it’s being used responsibly, safely and for their benefit.
AI doesn’t just require regulation – it needs assurance mechanisms that prove it can be trusted. Models already exist and include independent audits, data quality kitemarks, and clear accountability when things go wrong. That’s why the ODI advocates for data institutions – independent bodies that steward data rights, enforce ethical use, and give citizens confidence that data and AI are working for them, not on them.
Building the conditions for trust
People will only engage with new technologies if they trust them. It means opening up anonymised datasets to researchers and civil society organisations, because bias often hides in plain sight. What we put into the black box matters – and we won’t know the harms until we look.
The UK has a real opportunity to lead here. We’re already world-renowned for standards – in law, in finance, in governance. There’s no reason we shouldn’t aim to be a world leader in data assurance and data standards. A pro-innovation agenda isn’t just about deregulation; it’s about creating trusted systems that allow innovation to flourish – the kind that made open banking a success.
Making digital reform work
To make AI work for government, we have to start with the basics. Connectivity, so location doesn’t determine opportunity. Open standards that allow systems to communicate with each other. Data skills, not just for children and developers, but for policymakers and civil servants.
If we want AI to make public services more efficient, fair and responsive – rather than simply more automated – we must invest in the standards, stewardship and skills that make data reliable and usable. Ultimately, the offer to citizens should be clear -that digital reform can deliver more personalised, efficient and fairer public services – even in times of economic constraint. To achieve that, we need to get the basics right: connectivity, interoperability, open standards and digital skills – while preparing responsibly for the opportunities and risks of AI.
If we can do that, digital tools won’t just make government more efficient. They’ll make it more trusted, more responsive, and more resilient for the future.
Government can’t do this alone. It doesn’t have the money, capacity or five-year stability to deliver long-term transformation on its own. That means building smart partnerships with business, academia, and the civic tech community, based on fairness and transparency, rather than the kind of contracts that leave the public sector holding the risk while the private sector takes the reward.
Getting there will take patience and collaboration, but the prize is worth it: a government that learns from its citizens, services that adapt to people’s lives, and technology that earns public trust rather than testing it.
That’s how we make technology serve the public, not the other way around.
Resham Kotecha is global head of policy at the Open Data Institute
