For UK ad land to remain a world leader, the new government must priotize AI

Let me elaborate.

AI is here. If you spent any time at Cannes Lions, SXSW, or – frankly – if you’ve been on LinkedIn in the past six months, that won’t be news to you.

But as with the hype cycles of the past, the risk is we’re somewhere between the ‘Peak of Inflated Expectations’ and the ‘Trough of Disillusionment’. It’s even worse when times are tough, priorities are many and you’re Lisa Nandy, an incoming Secretary of State for Culture, Media and Sport with a hefty in-tray.

Where to start with AI?

Prioritizing AI

The risk here is that among all the other priorities and the difficulty in knowing how to begin, investing in AI and technical innovation becomes a ’nice to have’ rather than a fundamental enabler of growth. But it shouldn’t be deprioritized – we know growth comes from innovation.

The use cases are abundant. Recent analysis from the OBR predicts that the widespread use of AI technology could help raise productivity by half a percentage point by 2028/29. That equals a reduction of £6.2 billion in cost and an increase of almost £40bn in receipts.

We also see it being used to “turbocharge the power of the human,” as Octopus Energy’s founder Greg Jackson says. This has the potential to reduce the time to market and lead to revenue increases of three to five percent.

AI and innovation will drive growth. That’s my pitch. This is important as it’s becoming clear that growth is Labour’s laser focus coming into government. Rachel Reeves has already set up a Growth Delivery Unit at the heart of the Treasury and preparations have begun to establish a Growth Mission Board.

Our culture, media and sports sectors have always punched above their weight and I hope that Nandy has a seat at the table when discussing driving this growth.

Supporting ad land

If Nandy can help to integrate our world-class ad land with our exceptionally talented tech sector, we can be a key industry in supporting the new government’s plans. This is also imperative if we want to reverse the decline we’re seeing in creativity with the UK recently dropping to third in the Warc Creative 100 rankings.

The pinch of salt? We need to manage expectations about what AI can do. There’s a lot of misinformation out there and businesses are working through what AI means for them and how to balance that with cost, conflicting priorities, and running a business in 2024. This is no different for the incoming government. It’s not a silver bullet and it’ll take strategic thinking, time, and energy to get right.

Even with this pinch of salt, the growth this new government is aiming for will only be possible when we embrace an approach that brings together the best of technology with the creativity and authenticity of humans.

My ask to Lisa Nandy? Embrace the changes we’re seeing in technology wholeheartedly. The world has never moved faster – and it’s only accelerating. We need this new government and Nandy to embrace this inevitable transformation. Invest in pioneering companies, understand how AI can help, and be brave in partnering with leaders of industry who will challenge the status quo.

We’re ready for radical change and the world won’t wait for us to play catch up.