Liberal Democrats warn Britain lacks contingency if foreign tech providers withdraw

Liberal Democrat tech spokesperson Victoria Collins accused the government of handing out contracts to foreign technology oligarchs while failing to build sufficient British alternatives, leaving the country without a response plan if overseas providers withdraw. Her comments came after ministers acknowledged the risks of over-dependence highlighted in a Science and Technology Committee report on tech sovereignty. The report warned that allies might not always guarantee access to critical technologies such as AI.

The government’s strategy focuses on diversifying suppliers, expanding domestic capacity and collaborating with trusted partners, citing initiatives like the £500m Sovereign AI Fund and a £1.1bn AI Hardware Plan. However, Collins says the approach falls short of protecting public services that now rely on firms like US-based Palantir, which holds major NHS and Ministry of Defence contracts. Former Labour deputy leader Tom Watson recently joined Palantir, noting that some criticism is propaganda but acknowledging legitimate concerns about sovereign control.