The UK government has declined a request from the Parliamentary Committee on Science and Technology to provide a report on digital transformation spending. Officials stated that current financial systems cannot aggregate consistent or reliable data across government departments.
Estimates suggest the UK public sector spends over £26 billion annually on digital technologies. Despite this, the government lacks a centralized plan for digital state development, with spending currently managed in a decentralized manner.
Chi Onwurah, chair of the committee, criticized the lack of transparency regarding investment efficiency. Concerns were further heightened by the restructuring of the Government Digital Service and the dissolution of the Department for Science, Innovation and Technology.
The government has faced scrutiny over specific contracts, including a £60 million deal with Palantir awarded without a competitive tender. The committee has called for the termination of this agreement due to privacy concerns.
Budget management issues have also surfaced in healthcare technology projects. In May 2026, the budget for an AI development tender for the National Health Service increased by £600 million, reaching a total of £750 million.
