The Experiment
Barnsley, South Yorkshire, becomes the UK's first government-backed Tech Town today, testing AI across schools, NHS services, and small businesses over 18 months. Technology Secretary Liz Kendall positioned it as a national blueprint: prove AI works here, scale it everywhere.
The council gets £500,000 in seed funding. Microsoft and Cisco are backing AI skills training through Barnsley College and South Yorkshire Institute of Technology. The existing Seam Digital Campus, home to 33 digital businesses, expands to focus on AI adoption for SMEs.
The Track Record
History suggests caution. The UK government's own three-month trial of Microsoft 365 Copilot last year found no measurable productivity gains. Microsoft's Copilot adoption across its massive Office user base sits at 3.3%. These aren't encouraging benchmarks for an initiative promising to "improve productivity and make the UK great again."
Meanwhile, the companies leading this skills push have been cutting staff. Microsoft eliminated 15,000 jobs mid-2025, citing AI. Cisco dropped 7,000 workers (7% of headcount) in its AI restructure. Research from last year suggested a fifth of jobs could disappear at AI-implementing businesses.
We asked DSIT what assurances exist that Barnsley won't see job losses rather than job creation. They declined to answer directly.
What's Actually Being Tested
The program includes educational tech tools in schools (aiming to reduce teacher workload), NHS triage tools at Barnsley Hospital, and business support through the Digital Campus. Residents get free AI training as part of the government's broader 10 million worker upskilling target.
Partners include Barnsley College, the chamber of commerce, and community organisations. Residents will provide feedback through "Tech Town Halls." No specific funding amounts disclosed beyond the £500K seed money.
Three Things to Watch
- Whether educational AI tools actually reduce teacher workload or just shift it
- NHS triage implementation results compared to government's previous Copilot trial
- SME adoption rates and any job displacement data
Barnsley becomes a real-world test of whether AI can deliver on its promises to UK public services. The vendors involved haven't proven that case yet, even in their own operations. We'll see.