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Central government puts AI & data analytics at heart of reform

Fri, 5th Dec 2025

Central government departments are placing data analytics and artificial intelligence (AI) at the centre of their digital transformation agendas, new findings from Granicus show. A survey of 634 public sector professionals indicated that 39% consider data analytics and AI the principal focus for the next three years.

Key technology priorities

The research highlights that AI and machine learning (ML) are seen by 39% of respondents as essential technologies to align government digital services with public expectations. Big data analytics follows with 30%, while 27% cited cybersecurity as a leading requirement, emphasising the drive for both data-driven decision making and robust service reliability.

Distinct differences exist across various parts of the public sector regarding confidence in harnessing data. The study reported that 67% of central government employees are confident using data to guide decisions. This level drops among local government and NHS staff, where 22% and 23% respectively said they were not confident in data utilisation.

Sector disparities

This disparity in confidence has raised concerns over limited cross-sector collaboration and missed opportunities for sharing insights that could enhance decision making across public services. Siloed working practices remain persistent, preventing the full realisation of the public sector's digital and data ambitions.

AI impact on efficiency

Central government's renewed emphasis on AI and ML is considered critical to improving internal operational efficiency and strengthening public trust. As citizen demands evolve towards faster, more responsive and personalised services, government departments are being challenged to ensure these technologies are safe, ethical, and secure.

"The rise of AI and data analytics presents a huge opportunity for the public sector to improve service delivery and citizen outcomes. Central government has a critical role to play in setting the pace, providing strategic leadership and ensuring collaboration across departments, all while rebuilding trust with citizens and shaping services for the future. Our research shows that without clear leadership and investment, these technologies such as AI, ML and data analytics will not reach their full potential. It's not just about having the right tools, it's about using them effectively," said Ian Roberts, UK Managing Director, Granicus.

Barriers to adoption

The research also reveals challenges for digital transformation within the public sector workforce. Of those involved in digital transformation roles, 69% prioritised AI and data analytics. However, 36% of respondents identified middle management and 34% executive leadership as significant blockers to the adoption of digital tools.

Leadership and vision were cited by over a quarter of respondents (27%) as the most crucial skills required to close the gap between current and future digital services. The reported barriers underscore the need for a strategic approach and executive support if public sector digital transformation is to progress effectively.

The success of these initiatives may largely depend on efforts to build digital skills across all levels of government and to foster a culture open to data-driven change.

"It's not just about having the right tools, it's about using them effectively," said Roberts.