See reviews >

Government Plans for Science, Innovation and Technology

Richard Meehan 's profile picture

Richard Meehan - Senior Associate

Published
Article reviewed by Carla Murray.
6 minutes reading time
Government Plans for Science Innovation and Technology v2

While the first King's Speech of the new Labour Government may not have announced the 'AI Bill', which had been the subject of some advance media speculation, it nevertheless contained much interest in technology, science, data, the online space, and wider commercial issues. 

Our Commercial Lawyers explore a selection of key topics from the King's Speech, focusing on those relevant to businesses operating in the science and technology sector and those that will affect all businesses in terms of how they use and implement new technologies and data.

For a separate discussion of employment considerations arising from the King's Speech, please see Key Employment Law Takeaways from the King's Speech.

Speak To Our Commercial Lawyers

Digital Information and Smart Data

A key announcement in the King's Speech was the proposal for a Digital Information and Smart Data Bill, designed to 'harness the power of data for economic growth'.  

The measures proposed will affect how businesses and individuals share and use personal data and include:

  • Supporting the creation and adoption of 'Digital Verification Services', to be delivered by certified providers capable of offering appropriate security, to facilitate identity checks such as those required for moving house, proof of age, and pre-employment checks;
  • Setting up 'Smart Data Schemes' to promote the secure sharing of customer's data 'upon their request' – the UK's Open Banking regime is an example of such a scheme, and it will be interesting to see how the new government goes about promoting the development of similar schemes and encouraging their take-up;
  • Changes to the Digital Economy Act to help the Government' share data about businesses that use public services to enable access to 'more and better digital public services';
  • Measures intended to allow scientists to make better use of data in their work, including by allowing scientists to ask for broad consent for areas of scientific research and allowing commercial entities undertaking scientific research to make equal use of the data regime;
  • Modernising and strengthening the Information Commissioner's Office, including the introduction of new powers, the precise details of which are yet unknown, and
  • Undertaking 'targeted reforms' to some data laws, where the government considers that these may currently be 'impeding the safe development and deployment of some new technologies'.

We will continue to monitor and report on changes to the data protection regime as further information becomes available.

Meet Our Commercial Solicitors

Cybersecurity and Resilience Bill

Reflecting the ever-increasing threat to national security and private business interests posed by cyber-attacks, a proposed Cybersecurity and Resilience Bill will aim to enhance the nation's cybersecurity by:

  • Expanding regulation to apply to a wider range of digital services and supply chains, seen as potential weak spots in the defences of the nation's key infrastructure and services;
  • Strengthening the power of regulators to ensure 'essential cyber safety measures' are being implemented – businesses should note that this would include potential 'cost recovery mechanisms' and powers to 'proactively investigate potential vulnerabilities';
  • Businesses will be required to report incidents, including when a company has been subject to a ransomware attack, to give the government better data on cyber attacks.

Businesses should monitor developments in this area, which will likely impose additional cybersecurity compliance requirements for many organisations.

Cybersecurity and Resilience Bill

Regulation of Artificial Intelligence

While stopping short of announcing an 'AI Bill', the King's Speech did indicate an intention to 'seek to establish the appropriate legislation to place requirements on those working to develop the most powerful artificial intelligence models'. 

Further consultation is, therefore, to be expected concerning the regulation of AI.

It is significant in this context that the Labour Manifesto referred to regulators as being 'currently ill-equipped to deal with the dramatic development of new technologies, which often cut across traditional industries and sectors', suggesting a potential move to a more assertive regulatory regime. 

It remains to be seen what form the government's proposed regulation of AI will take.

It will also be interesting to see what approach is adopted on topics such as the use of 'deep fake' misinformation campaigns and the impact of AI on the workplace.

Regulation of Artificial Intelligence

Product Safety and Metrology Bill

A Product Safety and Metrology Bill is proposed to support growth, provide regulatory stability, and deliver more protection for consumers.

'Metrology' alludes to the 'weights and measures' regime and also to the use of metering in the utility sector.  Proposed measures include:

  • Measures to enable the UK's product safety regime to reflect risks and opportunities arising from new technologies, such as AI, and address challenges, such as the fire risk associated with e-bikes and lithium-ion batteries;
  • Developments to reflect new business models in the supply chain, such as the increasing use of online marketplaces, to enhance consumer protections when using such platforms, and mitigate the risks associated with foreign businesses placing unsafe goods on the UK market through online marketplaces;
  • Allowing the UK product safety regime to recognise new or updated EU product regulations, including the CE marking, 'where appropriate' while also allowing the UK regime to diverge from that of the EU 'where it is in the best interests of UK businesses and consumers' – it will be interesting to see how that assessment of 'best interests' will be carried out in practice; and
  • Enabling improvements to compliance and enforcement that reflect the challenges of modern, digital borders, including by allowing greater data sharing between regulators and market surveillance authorities.

Sign Up For the Latest Commercial Law News

Health and technology

Alongside proposals to strengthen the NHS, the King's Speech contained health-related proposals that would affect retailers and their supply chains. 

These included a Tobacco and Vapes Bill, which will progressively increase the age at which people can buy cigarettes and impose limits on the sale and marketing of vapes.

 A separate proposal would restrict the advertising of 'junk food' to children and the sale of high-caffeine energy drinks to children—the proposal's details are less fully articulated at this stage, and businesses that are likely to be affected should continue to monitor developments.

Health and technology

Research and Development

One manifesto pledge that was not specifically highlighted in the King's Speech but is nevertheless likely to affect businesses operating in the science and technology sectors is the plan to replace short (typically three-year) funding cycles for research and development institutions with ten-year budgets.

The government is targeting six areas for such ten-year budgets—aerospace, AI, automotive, defence, energy, and life sciences—and businesses intending to access investment in those sectors should monitor developments and keep in contact with the relevant funding institutions to understand how these changes may affect them.

Research and Development

Clean energy and transport

The green agenda is reflected in the proposal to set up 'Great British Energy', a publicly owned clean power company intended to accelerate investment in renewable energy such as offshore wind. Legislation is also proposed to achieve the UK's energy independence.

Alongside these measures, the production of sustainable aviation fuel will be incentivised through a revenue support mechanism intended to provide certainty over revenue streams necessary for businesses in that space to obtain investment.

In addition to the proposed bill for sustainable aviation fuel, several other proposals in the King's Speech related to more earthbound modes of transport. 

These include plans to give local leaders control over their area's bus services and Labour's flagship project to nationalise the operation of rail services and establish 'Great British Railways' as a publicly owned provider. 

The process of unwinding the current privatised model and the contracts underpinning the existing rail franchises will be complex, but the government's ambition is to complete the project within a five-year parliamentary term.

Speak To Our Commercial Team

Football regulation

Last but not least, for this note, the King's Speech proposed the introduction of an independent football regulator 'to ensure greater sustainability in the game and strengthen protections for fans'.   

The author, a Manchester City supporter, suspects he will become well acquainted with the work of this particular regulator in the coming seasons.

Football regulation

Contact Our Commercial Solicitors

If you have any questions or would like more information regarding anything set out in the King's Speece and how this may affect your business, please contact our Commercial Solicitors and Technology Lawyers, who would be happy to assist:

01619414000

Richard Meehan 's profile picture

Richard Meehan

Senior Associate

Richard is a Senior Associate in our Commercial Team and Head of the Life Sciences sector with over 13 years of experience acting as a Commercial solicitor. Richard has specialist expertise in the negotiation of commercial contracts relating to the supply and distribution of goods and services, the licensing of software, and intellectual property.

About Richard Meehan >