Budget 2026: Chancellor announces review of NHS productivity and AI use

ParliamentTV

By Daniel Pye

The chancellor of the exchequer John Healey has announced a review of NHS productivity and artificial intelligence “so staff can spend time with patients, not admin”.

Announcing the budget, Healey said the NHS productivity review will come as part of a “digital overhaul” of government in a bid to reduce spending.

This is part of “streamlining the state through devolution” to reduce “double running between central and local government”.

Healey also announced the investment of £140 million into strategic British AI firms, which the NHS will use.

“To ensure our most sensitive data stays under British control, I am setting out a new deal for datacentres in the UK.

“When the NHS uses AI to treat patients, we want that data here,” Healey said.

“I am today launching a new British data centre covenant with strict tests that data centres must meet – to invest in local communities, create local jobs and protect local water supplies.”