Tech AI LatestUK Budget sets out a £700M AI package with £120M more for the AI Security Institute
The UK Budget on 28 October 2026 sets out a £700M AI package: £120M more for the AI Security Institute, £140M for sovereign AI and a Data Centre Covenant.
Summary
Chancellor John Healey's Budget, delivered on 28 October 2026, includes what HM Treasury calls the government's most ambitious AI package yet, worth £700 million. It gives the AI Security Institute an extra £120 million, funds a £40 million national capability to respond to agentic AI security incidents, adds £140 million for the Sovereign AI Unit and sets up a Data Centre Covenant that trades grid connections for community, energy and security tests.