My Lords, I declare my technology interests as adviser to Boston Ltd. I thank all noble Lords who have signed up to speak; I eagerly anticipate all their contributions and, indeed, hearing from my noble friend the Minister. I also thank all the organisations that got in contact with me and other noble Lords for their briefings, as well as those that took time to meet me ahead of this Second Reading debate. Noble Lords and others who would like to follow this on social media can use #AIBill #AIFutures.
If we are to secure the opportunities and control the challenges of artificial intelligence, it is time to legislate and to lead. We need something that is principles-based and outcomes-focused, with input transparent, permissioned and wherever applicable paid for and understood.
There are at last three reasons why we should legislate on this: social, democratic and economic. On reason one, the social reason, some of the greatest benefits we could secure from AI come in this space, including truly personalised education for all, and healthcare. We saw only yesterday the exciting early results from the NHS Grampian breast-screening AI programme. Then there is mobility and net zero sustainability.
Reason two is about our democracy and jurisdiction. With 40% of the world’s democracies going to the polls this year, with deepfakes, cheap fakes, misinformation and disinformation, we are in a high-threat environment for our democracy. As our 2020 Democracy and Digital Technologies Select Committee report put it, with a proliferation of misinformation and disinformation, trust will evaporate and, without trust, democracy as we know it will simply disappear.
On our jurisdiction and system of law, the UK has a unique opportunity at this moment in time. We do not have to fear being in the first mover spotlight—the EU has taken that with its Act, in all its 892 pages. The US has had the executive order but is still yet to commit fully to this phase. The UK, with our common-law tradition, respected right around the world, has such an opportunity to legislate in a way that will be adaptive, versatile and able to develop through precedent and case law.
On reason three, our economy, PwC’s AI tracker says that by 2030, there will be a 14% increase in global GDP worth $15.7 trillion. The UK must act to ensure our share of that AI boom. To take just one technology, the chatbot global market grew tenfold in just four years. The Alan Turing Institute report on AI in the public sector, which came out just this week, says that 84% of government services could benefit from AI automation in over 200 different services. Regulated markets perform better. Right-sized regulation is good for innovation and good for inward investment.
Those are the three reasons. What about three individual impacts of AI right now? What if we find ourselves on the wrong end of an AI decision in a recruitment shortlisting, the wrong end of an AI decision in being turned down for a loan, or, even worse, the wrong end of an AI decision when awaiting a liver transplant? All these are illustrations of AI impacting individuals, often when they would not even know that AI was involved. We need to put paid to the myth, the false dichotomy, that you must have heavy, rules-based regulation or a free hand—that we have to pay tribute to the cry of the frontierists in every epoque: “Don’t fence me in”. Right-sized regulation is good socially, democratically and economically. Here is the thing: AI is to human intellect what steam was to human strength. You get the picture. Steam literally changed time. It is our time to act, and that is why I bring this Bill to your Lordships’ House today.
My Lords, there can have been few Private Members’ Bills that have set out to address such towering issues as this Bill from the noble Lord, Lord Holmes of Richmond. He has been an important voice on the opportunities and challenges arising from generative AI in this House and outside it. This Bill and his powerful introduction to it are only the latest contributions to the vital issue of regulating AI to ensure that the social and financial interests and security of consumers are protected as a first priority.
The noble Lord also contributed to a wide-ranging discussion on the regulation of AI in relation to misinformation and disinformation convened by the Thomson Foundation, of which, as recorded in the register, I am chair. Disinformation in news has existed and grown as a problem since long before the emergence of generative AI, but each iteration of AI makes the disinformation that human bad actors promote even harder to detect and counteract.
This year a record number of people in the world will go to the polls in general elections, as the noble Lord said. The Thomson Foundation has commissioned research into the incidence of AI-fuelled disinformation in the Taiwanese presidential elections in mid-January, conducted by Professor Chen-Ling Hung of National Taiwan University. Your Lordships may not be surprised that the preliminary conclusions of the work, which will be continued in relation to other elections, confirms the concerns that the noble Lord voiced in his introduction. Generative AI’s role in exacerbating misinformation and disinformation in news and the impact that can have on the democratic process are hugely important, but this is only one of a large number of areas where generative AI is at the same time an opportunity and a threat.
I strongly support this well-judged and balanced Bill, which recognises the fast-changing, dynamic nature of this technology—Moore’s law on steroids, as I have previously suggested—and sets out a logical and coherent role for the proposed AI authority, bringing a transparency and clarity to the regulation of AI for its developers and users that is currently lacking.
My Lords, one of the advantages of sitting every day between my noble friends Lord Holmes and Lord Kirkhope is that their enthusiasm for a subject on which they have a lot of knowledge and I have very little passes by a process of osmosis along the Bench. I commend my noble friend on his Bill and his speech. I will add a footnote to it.
My noble friend’s Bill is timely, coming after the Government published their consultation outcome last month, shortly after the European Commission published its Artificial Intelligence Act and as we see how other countries, such as the USA, are responding to the AI challenge. Ideally, there should be some global architecture to deal with a phenomenon that knows no boundaries. The Prime Minister said as much in October:
“My vision, and our ultimate goal, should be to work towards a more international approach to safety where we collaborate with partners to ensure AI systems are safe”.
However, we only have to look at the pressures on existing international organisations, like the United Nations and the WTO, to see that that is a big ask. There is a headwind of protectionism, and at times nationalism, making collaboration difficult. It is not helped by the world being increasingly divided between democracies and autocracies, with the latter using AI as a substitute for conventional warfare.
The most pragmatic approach, therefore, is to go for some lowest common denominators, building on the Bletchley Declaration which talks about sharing responsibility and collaboration. We want to avoid regulatory regimes that are incompatible, which would lead to regulatory arbitrage and difficulties with compliance.
The response to the consultation refers to this in paragraphs 71 and 72, stating:
“the intense competition between companies to release ever-more-capable systems means we will need to remain highly vigilant to meaningful compliance, accountability, and effective risk mitigation. It may be the case that commercial incentives are not always aligned with the public good”.
My Lords, I also warmly support the Bill introduced by the noble Lord, Lord Holmes of Richmond. I support it because it has the right balance of radicalism to fit the revolution in which we are living. I will look at it through eight points—that may be ambitious in five minutes, but I think I can do it.
There is a degree of serious common ground. First, we need fair standards to protect the public. We need to protect privacy, security, human rights, fraud and intellectual property. We also need to protect, however, rights to access, like data and the processes by which artificial intelligence makes decisions in respect of you. An enforcement system is needed to make that work. If we have that, we do not need the elaborate mechanism of the EU by regulating individual products.
Secondly, it is clear there has to be a consistency of standards. We cannot have one rule for one market, and one rule for another market. If you look back at the 19th century, when we underwent the last massive technological revolution, the courts sometimes made the mistake of fashioning rules to fit individual markets. That was an error, and that is why we need to look at it comprehensively.
Thirdly, we have got to protect innovation. I believe that is common ground, but the points to which I shall come in a moment show the difficulties.
Fourthly, we have got to produce a system that is interoperable. The noble Lord, Lord Holmes, referred to the trade documents Bill, which was the product of international development. We have adapted the common law to fit it and other countries’ systems will do it. That is a sine qua non.
I believe all those points are common ground, but I now come to four points that I do not think are common ground. The first is simplicity. When you look at Bills in this House, I sometimes feel we are making the law unworkable by its complexity. There can be absolutely no doubt that regulation is becoming unworkable because of the complexity. I can quite understand why innovators are horrified at the prospect of regulation, but they have got the wrong kind of regulation. They have got what we have created, unfortunately; it is a huge burden and is not based on simplicity and principles. If we are to persuade people to regulate, we need a radically different approach, and this Bill brings it about.
My Lords, it is a great pleasure to follow the noble and learned Lord, Lord Thomas, and his interesting speech. I remind noble Lords that the Communications and Digital Committee, which I have the privilege to chair, published our report Large Language Models and Generative AI only last month. For anyone who has not read it, I wholeheartedly recommend it, and I am going to draw heavily on it in my speech.
It is a pleasure to speak in a debate led by my noble friend Lord Holmes, and I congratulate him on all that he does in the digital and technology space. As he knows, I cannot support his Bill because I do not agree with the concept of an AI authority, but I have listened carefully to the arguments put forward by the noble and learned Lord, Lord Thomas, a moment ago. But neither would I encourage the Government to follow the Europeans and rush to develop overly specific legislation for this general-purpose technology.
That said, there is much common ground on which my noble friend and I can stand when it comes to our ambitions for AI, so I will say a little about that and where I see danger with the Government’s current approach to this massively important technological development.
As we have heard, AI is reshaping our world. Some of these changes are modest, and some are hype, but others are genuinely profound. Large language models in particular have the potential to fundamentally reshape our relationship with machines. In the right hands, they could drive huge benefits to our economy, supporting ground-breaking scientific research and much more.
I agree with my noble friend Lord Holmes about how we should approach AI. It must be developed and used to benefit people and society, not just big tech giants. Existing regulators must be equipped and empowered to hold tech firms to account as this technology operates in their own respective sectors, and we must ensure that there are proper safety tests for the riskiest models.
My Lords, I too congratulate the noble Lord, Lord Holmes, on his wonderful speech. I declare my interests as an adviser to the Oxford Institute for Ethics in AI and the UN Secretary-General’s AI Advisory Body.
When I read the Bill, I asked myself three questions. Do we need an AI regulation Bill? Is this the Bill we need? What happens if we do not have a Bill? It is arguable that it would be better to deal with AI sector by sector—in education, the delivery of public services, defence, media, justice and so on—but that would require an enormous legislative push. Like others, I note that we are in the middle of a legislative push, with digital markets legislation, media legislation, data protection legislation and online harms legislation, all of which resolutely ignore both existing and future risk.
The taxpayer has been asked to make a £100 million investment in launching the world’s first AI safety institute, but as the Ada Lovelace Institute says:
“We are concerned that the Government’s approach to AI regulation is ‘all eyes, no hands’”,
with plenty of “horizon scanning” but no
“powers and resources to prevent those risks or even to react to them effectively after the fact”.
So yes, we need an AI regulation Bill.
Is this the Bill we need? Perhaps I should say to the House that I am a fan of the Bill. It covers testing and sandboxes, it considers what the public want, and it deals with a very important specific issue that I have raised a number of times in the House, in the form of creating AI-responsible officers. On that point, the CEO of the International Association of Privacy Professionals came to see me recently and made an enormously compelling case that, globally, we need hundreds of thousands of AI professionals, as the systems become smarter and more ubiquitous, and that those professionals will need standards and norms within which to work. He also made the case that the UK would be very well-placed to create those professionals at scale.
My Lords, I thought that this would be one of the rare debates where I did not have an interest to declare, but then I heard the noble Lord, Lord Young, talking about AI and education and realised that I am a paid adviser to Common Sense Media, a large US not-for-profit that campaigns for internet safety and has published the first ever ratings of AI applications used in schools. I refer the noble Lord to its excellent work in this area.
It is a pleasure to speak in the debate on this Bill, so ably put forward by the noble Lord, Lord Holmes. It is pretty clear from the reaction to his speech how much he is admired in this House for his work on this issue and so many others to do with media and technology, where he is one of the leading voices in public affairs. Let me say how humiliating it is for me to follow the noble Baronesses, Lady Stowell and Lady Kidron, both of whom are experts in this area and have done so much to advance public policy.
I am a regulator and in favour of regulation. I strongly supported the Online Safety Act, despite the narrow byways and culs-de-sac it ended up in, because I believe that platforms and technology need to be accountable in some way. I do not support people who say that the job is too big to be attempted—we must attempt it. What I always say about the Online Safety Act is that the legislation itself is irrelevant; what is relevant is the number of staff and amount of expertise that Ofcom now has, which will make it one of the world’s leaders in this space.
We talk about AI now because it has come to the forefront of consumers’ minds through applications such as ChatGPT, but large language models and the use of AI have been around for many years. As AI becomes ubiquitous, it is right that we now consider how we could or should regulate it. Indeed, with the approaching elections, not just here in the UK but in the United States and other areas around the world, we will see the abuse of artificial intelligence, and many people will wring their hands about how on earth to cope with the plethora of disinformation that is likely to emerge.
My Lords, like other Members, I congratulate the noble Lord, Lord Holmes, on what he has been doing.
The general public have become more aware of AI in very recent times, but it is nothing new; people have been working on it for decades. Because it is reaching such a critical mass and getting into all the different areas of our lives, it is now in the public mind. While I do not want to get into the minutiae of the Bill—that is for Committee—speaking as a non-expert, I think that the general public are now at a stage where they have a right to know what legislators think. Given the way things have developed in recent years, the Government cannot stand back and do nothing.
Like gunpowder, AI cannot be uninvented. The growing capacity of chips and other developments, and the power of a limited number of companies around the world, ensure that such a powerful tool will now be in the hands of a very small number of corporations. The Prime Minister took the lead last year and indicated that he wished to see the United Kingdom as a world leader in this field, and he went to the United States and other locations. I rather feel that we have lost momentum and that nothing is currently happening that ought to be happening.
As with all developments, there are opportunities and threats. In the last 24 hours, we have seen both. As the noble Lord, Lord Holmes, pointed out, studies on breast cancer were published yesterday, showing that X-rays, CT scans, et cetera were interpreted more accurately by AI than by humans. How many cases have we had in recent years of tests having to be recalled by various trusts, causing anxiety and stress for thousands upon thousands of patients? It is perfectly clear that, in the field of medicine alone, AI could not only improve treatment rates but relieve people of a lot of the anxieties that such inaccuracies cause. We also saw the threats on our television screens last night. As the noble Lord referred to, a well-known newscaster showed that she was presented by AI in a porn movie—she had it there on the screens for us to see last night. So you can see the threats as well as the opportunities.
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I look forward to the Minister’s winding up, but with my expectations firmly under control. The Prime Minister’s position seems incoherent. On the one hand he says that generative AI poses an existential threat and on the other that no new regulatory body is needed and the technology is too fast-moving for a comprehensive regulatory framework to be established. That is a guarantee that we will be heaving to close a creaking stable door as the thoroughbred horse disappears over the horizon. I will not be surprised to hear the Minister extol the steps taken in recent months, such as the establishment of the AI unit, as a demonstration that everything is under control. Even if these small initiatives are welcome, they fall well short of establishing the transparency and clarity of regulation needed to engender confidence in all parties—consumers, employers, workers and civil society.
If evidence is needed to make the case for a transparent, well-defined regulatory regime rather than ad hoc, fragmented departmental action, the Industry and Regulators Committee, of which I am privileged to be a member, today published a letter to the Secretary of State for Levelling Up about the regulation of property agents. Five years ago, a working group chaired by the noble Lord, Lord Best, recommended that the sector should be regulated, yet despite positive initial noises from the Government, nothing has happened. Even making allowance for the impact of the pandemic during this time, this does not engender confidence in their willingness and ability to grasp regulatory nettles in a low-tech industry, let alone in a high-tech one.
It is hard not to suspect that this reflects an ideological suspicion within the Conservative Party that regulation is the enemy of innovation and economic success rather than a necessary condition, which I believe it is. Evidence to the Industry and Regulators Committee from a representative of Merck confirmed that the life sciences industry thrives in countries where there is strong regulation.
I urge the Government to give parliamentary time to this Bill to allow it to go forward. I look forward to addressing its detailed issues then.
It concludes:
“the challenges posed by AI technologies will ultimately require legislative action in every country once understanding of risk has matured”.
My noble friend’s Private Member’s Bill is a heroic first shot at what that legislation might look like. To simplify, there is a debate between top-down, as set out in the Bill, and bottom-up, as set out in the Government’s response, delegating regulation to individual regulators with a control function in DSIT. At some point, there will have to be convergence between the two approaches.
There is one particular clause in my noble friend’s Bill that I think is important: Clause 1(2)(c), which states that the function of the AI authority is to,
“undertake a gap analysis of regulatory responsibilities in respect of AI”.
The White Paper and the consultation outcome have numerous references to regulators. What I was looking for and never found was a list of all our regulators, and what they regulate. I confess I may have missed it, but without such a comprehensive list of regulators and what they regulate, any strategy risks being incomplete because we do not have a full picture.
My noble friend mentioned education. We have a shortage of teachers in many disciplines, and many complain about paperwork and are thinking of leaving. There is a huge contribution to be made by AI. But who is in charge? If you put the question into Google, it says,
“the DFE is responsible for children’s services and education”.
Then there is Ofsted, which inspects schools; there is Ofqual, which deals with exams; and then there is the Office for Students. The Russell group of universities have signed up to a set of principles ensuring that pupils would be taught to become AI literate.
Who is looking at the huge volume of material which AI companies are drowning schools and teachers with, as new and more accessible chatbots are developed? Who is looking at AI for marking homework? What about AI for adaptive testing? Who is looking at AI being used for home tuition, as increasingly used by parents? Who is looking at AI for marking papers? As my noble friend said, what happens if they get it wrong?
The education sector is trying to get a handle on this technological maelstrom and there may be some bad actors in there. However, the same may be happening elsewhere because the regulatory regimes lack clarity. Hence, should by any chance my noble friend’s Bill not survive in full, Clause 1(2)(c) should.
Secondly, there needs to be transparency and accountability. I do not believe that doing this through a small body within a ministry is the right way; it has to be done openly.
Thirdly—and this is probably highly controversial—when you look at regulation, our idea is of the statutory regulator with its vast empire created. Do we need that? Look back at the 19th century: the way in which the country developed was through self-regulation supported by the courts, Parliament and government. We need to look at that again. I see nothing wrong with self-regulation. It has itself a shocking name, as a result of what happened in the financial markets at the turn of the century, but I believe that we should look at it again. Effective self-regulation can be good regulation.
Finally, the regulator must be independent. There is nothing inconsistent with self-regulation and independence.
We need a radical approach, and the Bill gives us that. No one will come here if we pretend we are going to set up a regulator—like the financial markets regulator, the pensions regulator and so on—because people will recoil in horror. If we have this Bill, however, with its simplicity and emphasis on comprehensiveness, we can do it. By saying that, it seems to me that the fundamental flaw in what the Government are doing is leaving the current regulatory system in place. We cannot afford to do that. We need to face the new industrial revolution with a new form of regulation.
That said, we must maintain an open market for AI, and so any testing must not create barriers to entry. Indeed, one of my biggest fears is an even greater concentration of power among the big tech firms and repeating the same mistakes which led to a single firm dominating search, no UK-based cloud service, and a couple of firms controlling social media. Instead, we must ensure that generative AI creates new markets and, if possible, use it to address the existing market distortions.
Our large language model report looked in detail at what needs to happen over the next three years to catalyse AI innovation responsibly and mitigate risks proportionately. The UK is well-placed to be among the world leaders of this technology, but we can only achieve that by being positive and ambitious. The recent focus on existential sci-fi scenarios has shifted attention towards too narrow a view of AI safety. On its own, a concentration on safety will not deliver the broader capabilities and commercial heft that the UK needs to shape international norms. However, we cannot keep up with international competitors without more focus on supporting commercial opportunities and academic excellence. A rebalance in government strategy and a more positive vision is therefore needed. The Government should improve access to computing power, increase support for digital, and do more to help start-ups grow out of university research.
I do not wish to downplay the risks of AI. Many need to be addressed quickly—for example, cyberattacks and synthetic child sexual abuse, as well as bias and discrimination, which we have already heard about. The Government should scale up existing mitigations, and ensure industry improves its own guard-rails. However, the overall point is about balance. Regulation should be thoughtful and proportionate, to catalyse rather than stifle responsible innovation, otherwise we risk creating extensive rules that end up entrenching incumbents’ market power, and we throttle domestic industry in the process. Regulatory capture is a real danger that our inquiry highlighted.
Copyright is another danger, and this is where there is a clear case for government action now. The point of copyright is to reward innovation, yet tech firms have been exploiting rights holders by using works without permission or payment. Some of that is starting to change, and I am pleased to see some firms now striking deals with publishers. However, these remain small steps, and the fundamental question about respecting copyright in the first place remains unresolved.
The role for government here is clear: it should endorse the principles behind copyright and uphold fair play, and should then update legislation. Unfortunately, the current approach remains unclear and inadequate. It has abandoned the IPO-led process, but apparently without anything more ambitious in its place. I hope for better news in the Government’s response to our report, expected next month, and it would be better still if my noble friend the Minister could say something reassuring today.
In the meantime, I am grateful to my noble friend Lord Holmes for providing the opportunity to debate such an important topic.
I have a couple of additions. Unless the Minister is going to make a surprise announcement, I think we are allowed to consider that he is going to take the Bill on in full. In addition, under Clause 2, which sets out regulatory principles, I would like to see consideration of children’s rights and development needs; employment rights, concerning both management by AI and job displacement; a public interest case; and more clarity that material that is an offence—such as creating viruses, CSAM or inciting violence—is also an offence, whether created by AI or not, with specific responsibilities that accrue to users, developers and distributors.
The Stanford Internet Observatory recently identified hundreds of known images of child sexual abuse material in an open dataset used to train popular AI text-to-image models, saying:
“It is challenging to clean or stop the distribution of publicly distributed datasets as it has been widely disseminated. Future datasets could use freely available detection tools to prevent the collection of known CSAM”.
The report illustrates that it is very possible to remove such images, but that it did not bother, and now those images are proliferating at scale.
We need to have rules upon which AI is developed. It is poised to transform healthcare, both diagnosis and treatment. It will take the weight out of some of the public services we can no longer afford, and it will release money to make life better for many. However, it brings forward a range of dangers, from fake images to lethal autonomous weapons and deliberate pandemics. AI is not a case of good or bad; it is a question of uses and abuses.
I recently hosted Geoffrey Hinton, whom many will know as the “godfather of AI”. His address to parliamentarians was as chilling as it was compelling, and he put timescales on the outcomes that leave no time to wait. I will not stray into his points about the nature of human intelligence, but he was utterly clear that the concentration of power, the asymmetry of benefit and the control over resources—energy, water and hardware—needed to run these powerful systems would be, if left until later, in so few hands that they, and not we, would be doing the rule setting.
My final question is: if we have no AI Bill, can the Government please consider putting the content of the AI regulation Bill into the data Bill currently passing through Parliament and deal with it in that way?
I am often asked at technology events, which I attend assiduously, what the Government’s policy is on artificial intelligence. To a certain extent I have to make it up, but to a certain extent I think that, broadly speaking, I have it right. On the one hand, there is an important focus on safety for artificial intelligence to make it as safe as possible for consumers, which in itself begs the question of whether that is possible; on the other, there is a need to ensure that the UK remains a wonderful place for AI innovation. We are rightly proud that DeepMind, although owned by Google, wishes to stay in the UK. Indeed, in a tweet yesterday the Chancellor himself bigged up Mustafa Suleyman for taking on the role of leading AI at Microsoft. It is true that the UK remains a second-tier nation in AI after China and the US, but it is the leading second-tier nation.
The question now is: what do we mean by regulation? I do not necessarily believe that now is the moment to create an AI safety regulator. I was interested to hear the contribution of the noble and learned Lord, Lord Thomas, who referred to the 19th century. I refer him to the late 20th century and the early 21st century: the internet itself has long been self-regulated, at least in terms of the technology and the global standards that exist, so it is possible for AI to proceed largely on the basis of self-regulation.
The Government’s approach to regulation is the right one. We have, for example, the Digital Regulation Cooperation Forum, which brings together all the regulators that either obviously, such as Ofcom, or indirectly, such as the FCA, have skin the game when it comes to digital. My specific request to the Minister is to bring the House up to date on the work of that forum and how he sees it developing.
I was surprised by the creation of the AI Safety Institute as a stand-alone body with such generous funding. It seems to me that the Government do not need legislation to do an examination of the plethora of bodies that have sprung up over the last 10 or 15 years. Many of them do excellent work, but where their responsibilities begin and end is confusing. They include the Ada Lovelace Institute, the Alan Turing Institute, the AI Safety Institute, Ofcom and DSIT, but how do they all fit together into a clear narrative? That is the essential task that the Government must now undertake.
I will pick up on one remark that the noble Baroness, Lady Stowell, made. While we look at the flashy stuff, if you like, such as disinformation and copyright, she is quite right to say that we have to look at the picks and shovels as AI becomes more prevalent and as the UK seeks to maintain our lead. Boring but absolutely essential things such as power networks for data centres will be important, so they must also be part of the Government’s task.
So the question is: can Parliament, can government, stand by and just let things happen? I believe that the Government cannot idly stand by. We have an opportunity to lead. Yes, we do not want to create circumstances where we suffocate innovation. There is an argument over regulation between what the noble Viscount, Lord Chandos, said, what the noble and learned Lord, Lord Thomas, said, and what I think the Government’s response will be. However, bolting bits on to existing regulators is not necessarily the best way of doing business. You need a laser focus on this and you need the people with the capacity and the expertise. They are not going to be widely available and, if you have a regulator with too much on its agenda, the outcome will be fairly dilute and feeble.
In advance of this, I said to the Minister that we have all seen the “Terminator” movies, and I am sure that the general public have seen them over the years. The fact is that it is no longer as far-fetched as it once was. I have to ask the Minister: what is our capacity to deal with hacking? If it gets into weapons systems, never mind utilities, one can see straight away a huge potential for danger.
So, once again, we are delighted that the Bill has been brought forward. I would like to think that ultimately the Government will take this over, because that is the only way that it will become law, and it does need refinement. A response from the Minister, particularly on the last point, which creates huge anxiety, would be most beneficial.
In constructing the Bill, I have sought to consult widely, to be very cognisant of the Government’s pro-innovation White Paper, of all the great work of BCS, technology, industry, civil society and more. I wanted the Bill to be threaded through with the principles of transparency and trustworthiness; inclusion and innovation; interoperability and international focus; accountability and assurance.
Turning to the clauses, Clause 1 sets up an AI authority. Lest any noble Lord suddenly feels that I am proposing a do-it-all, huge, cumbersome regulator, I am most certainly not. In many ways, it would not be much bigger in scope than what the DSIT unit is proposing: an agile, right-sized regulator, horizontally focused to look across all existing regulators, not least the economic regulators, to assess their competency to address the opportunities and challenges presented by AI and to highlight the gaps. And there are gaps, as rightly identified by the excellent Ada Lovelace Institute report. For example, where do you go if you are on the wrong end of that AI recruitment shortlisting decision? It must have the authority, similarly, to look across all relevant legislation—consumer protection and product safety, to name but two—to assess its competency to address the challenges and opportunities presented by AI.
The AI authority must have at its heart the principles set out in Clause 2: it must be not just the custodian of those principles, but a very lighthouse for them, and it must have an educational function and a pro-innovation purpose. Many of those principles will be very recognisable; they are taken from the Government’s White Paper but put on a statutory footing. If they are good enough to be in the White Paper, we should commit to them, believe in them and know that they will be our greatest guides for the positive path forward, when put in a statutory framework. We must have everything inclusive by design, and with a proportionality thread running through all the principles, so none of them can be deployed in a burdensome way.
Clause 3 concerns sandboxes, so brilliantly developed in the UK in 2016 with the fintech regulatory sandbox. If you want a measure of its success, it is replicated in well over 50 jurisdictions around the world. It enables innovation in a safe, regulated, supported environment: real customers, real market, real innovations, but in a splendid sandbox concept.
Clause 4 sets up the AI responsible officer, to be conceived of not as a person but as a role, to ensure the safe, ethical and unbiased deployment of AI in her or his organisation. It does not have to be burdensome, or a whole person in a start-up; but that function needs to be performed, with reporting requirements under the Companies Act that are well understood by any business. Again, crucially, it must be subject to that proportionality principle.
Clause 5 concerns labelling and IP, which is such a critical part of how we will get this right with AI. Labelling: so that if anybody is subject to a service or a good where AI is in the mix, it will be clearly labelled. AI can be part of the solution to providing this labelling approach. Where IP or third-party data is used, that has to be reported to the AI authority. Again, this can be done efficiently and effectively using the very technology itself. On the critical question of IP, I met with 25 organisations representing tens of thousands of our great creatives: the people that make us laugh, make us smile, challenge us, push us to places we never even knew existed; those who make music, such sweet music, where otherwise there may be silence. It is critical to understand that they want to be part of this AI transformation, but in a consented, negotiated, paid-for manner. As Dan Guthrie, director-general of the Alliance for Intellectual Property, put it, it is extraordinary that businesses together worth trillions take creatives’ IP without consent and without payment, while fiercely defending their own intellectual property. This Bill will change that.
Clause 6 concerns public engagement. For me, this is probably the most important clause in the Bill, because without public engagement, how can we have trustworthiness? People need to be able to ask, “What is in this for me? Why should I care? How is this impacting my life? How can I get involved?” We need to look at innovative ways to consult and engage. A good example, in Taiwan, is the Alignment Assemblies, but there are hundreds of novel approaches. Government consultations should have millions of responses, because this is both desirable and now, with the technology, analysable.
Clause 7 concerns interpretation. At this stage, I have drawn the definitions of AI deliberately broadly. We should certainly debate this, but as set out in Clause 7, much would and should be included in those definitions.
Clause 8 sets out the potential for regulating for offences and fines thereunder, to give teeth to so much of what I have already set out and, rightly, to pay the correct respect to all the devolved nations. So, such regulations would have to go through the Scottish Parliament, Senedd Cymru and the Northern Ireland Assembly.
That brings us to Clause 9, the final clause, which makes this a UK-wide Bill.
So, that is the Bill. We know how to do this. Just last year, the Electronic Trade Documents Act showed that we know how to legislate for the possibilities of these new technologies; and, my word, we know how to innovate in the UK—Turing, Lovelace, Berners-Lee, Demis at DeepMind, and so many more.
If we know how to do this, why are we not legislating? What will we know in, say, 12 months’ time that we do not know now about citizens’ rights, consumer protection, IP rights, being pro-innovation, labelling and the opportunity to transform public engagement? We need to act now, because we know what we need to know—if not now, when? The Bletchley summit last year was a success. Understandably, it focused on safety, but having done that it is imperative that we stand up all the other elements of AI already impacting people’s lives in so many ways, often without their knowledge.
Perhaps the greatest and finest learning from Bletchley is not so much the safety summit but what happened there two generations before, when a diverse team of talent gathered and deployed the technology of their day to defeat the greatest threat to our civilisation. Talent and technology brought forth light in one of the darkest hours of human history. As it was in Bletchley in the 1940s, so it is in the United Kingdom in the 2020s. It is time for human-led, human-in-the-loop, principle-based artificial intelligence. It is time to legislate and to lead; for transparency and trustworthiness, inclusion and innovation, interoperability and international focus, accountability and assurance; for AI developers, deployers and democracy itself; for citizens, creatives and our country—our data, our decisions, #ourAIfutures. That is what this Bill is all about. I beg to move.