In a lively keynote, Kyle described the agreement as a ‘new way of working’ that would enable the UK public sector to escape the shackles of outdated IT systems, deliver faster, more accessible digital services, and leverage cutting-edge AI to boost efficiency across departments.
“Today I’m here to acknowledge that our agreement for an entirely new way of working with Google, and how that will impact our public services, is an agreement that recognises our value as the UK government as a huge client of their organisation,” said Kyle.
“The agreement signals and signifies our determination to exploit the full potential of a partnership between government and Google.”
Kyle cited the rapid development of the GOV.UK app, which now includes a digital wallet, chatbot, and digital driving licence. He said the government had defied civil service expectations by launching it within just one year of taking office, far ahead of the original five-year forecast.
“When I came into office a year ago, I was told… it couldn’t be done in one Parliament,” Kyle said.
“My response was, I’m sure Google and others don’t take that long to design and deploy their technology… Within 15 months, all of those services will be deployed to the benefit of citizens right around the country, and that, for me, is a source of huge pride.”
The new partnership with Google will see Google Cloud provide technical support to modernise key public services, including the NHS, policing, benefits, and tax, while also helping departments migrate off so-called ‘ball and chain’ legacy tech systems.
More than 25% of public sector systems — rising to 70% in some police forces — still run on outdated infrastructure, leaving them vulnerable to outages and cyberattacks.
“We’ve seen a few tech companies really taking liberties with the public sector,” said Kyle.
“They’ve locked up their data in vulnerable, archaic servers, only to have the price piped up year on year. Now, as Technology Secretary, I am determined to break free from those costly chains once and for all.”
The partnership will also explore the development of a single cybersecurity platform to monitor and defend the UK government against rising cyber threats — a move that could futureproof the state’s digital operations for decades.
In one of the most forward-looking aspects of the deal, the UK’s Department for Science, Innovation and Technology will begin working more closely with Google DeepMind, the AI research lab based in London, on projects that could help modernise public services.
Kyle highlighted the department’s use of Gemini, Google’s generative AI model, to develop Extract — a specialist AI tool capable of converting decades-old planning documents and maps into searchable data in minutes.
“It could be pivotal in our plan to stop bureaucracy from holding up construction, and ultimately help us build the 1.5 million homes that we pledged to deliver this Parliament,” Kyle said.
Beyond planning, Kyle suggested the same technologies could transform services in the NHS and local councils, calling it a “profound change” in how government interacts with citizens.
The partnership isn’t just about tech, it’s also about people, Kyle said. Google Cloud will train up to 100,000 public sector workers in AI and digital skills by 2030, helping meet the Prime Minister’s goal for one in 10 civil servants to be in tech roles by the end of the decade.
“This is essential to shaking up decades-old processes and making public sector services work in the way that people expect them to in the 2020s,” said Kyle. “Whether that’s the NHS, policing, the benefits or the tax system.”
The deal is also set to unlock substantial economic value. The government estimates public sector tech modernisation could result in £45 billion in efficiency savings — the so-called ‘jackpot’ from embracing new technologies.
Tara Brady, president of Google Cloud EMEA, said the company was proud to be playing a leading role in the transformation.
“Google Cloud is proud to be a strategic partner of the UK government as they embark on this ambitious digital transformation,” Brady said.
“We are deeply committed to empowering the UK public sector with the technical skills and innovative AI-powered solutions required to build a truly modern, secure and efficient digital future.”
Kyle emphasised that the deal also marks a strategic shift in how the government procures tech. Instead of hundreds of individual departments negotiating with suppliers independently, often without market leverage, the new approach will centralise procurement power to negotiate better prices and ensure interoperability.
“Without deals like this in place, we had hundreds of public sector organisations going it alone in negotiations with big tech companies,” Kyle said.
“They just don’t have the experience and the market clout they need to drive the best deal for taxpayers.”
Kyle revealed the public sector currently spends around £21 billion a year on technology, and argued that coordinating procurement would lead to smarter deals and better outcomes.
“For too long, too many governments haven’t done enough to build the positive business relationships that Britain needs to prevent the taxpayer being short-changed,” he said.
“When I negotiate with tech companies, I am negotiating on behalf of the British taxpayer.”
Kyle also called on UK tech companies to seize the moment. With a new National Digital Exchange procurement platform launching soon, he said the government is committed to giving more contracts to domestic firms and levelling the playing field.
“The first opportunity I’m pushing for is to make sure that, whenever possible, UK technology companies both large and small get a fair shot at winning a contract,” he said.
“That means more money for companies operating here in the UK, workers and founders… and it will improve the public services on which British citizens depend.”
In closing, Kyle praised Google for its “foresight” in signing the deal and urged other tech giants to follow suit.
“Bring us your best ideas, bring us your best tech, and bring it at the best price,” he said.
“In return, you’ll get access to the biggest client in the country — one that will be increasingly intelligent and increasingly digital.”
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