The U.K. government has scrapped £1.3 billion in computing infrastructure projects, including a £500 million AI Research Resource and an £800 million exascale computer at the University of Edinburgh. This decision, announced by the Labour administration, is part of broader spending cuts aimed at addressing a £22 billion shortfall inherited from the previous Conservative government.

The cancelled projects were intended to enhance the U.K.'s AI capabilities by providing advanced computing infrastructure necessary for high-performance AI models. The Labour government is now prioritizing fiscal stability and other economic goals while planning to introduce new regulations for AI. The AI Opportunities Action Plan will focus on improving computing infrastructure and integrating emerging technologies into the country’s industrial strategy.