Can technology transform the UK public sector?

Moving house is stressful enough. It shouldn’t also mean you have to start from scratch with council paperwork every time you cross a borough line. Yet, tell the council you’ve moved and you may still need to inform the school, your GP, the DVLA, and a range of other public bodies – repeating the same details, simply because their systems don’t speak to each other.

Too often, citizens are forced through administrative loops created by systems built around departments, not the people trying to use services. We see this especially in the NHS today.

Taking action

Following the Autumn Budget and the subsequent Spending Review, the focus has shifted from funding to the reality of delivery, as the government realises that addressing “technical debt” is the only way to meet its ambitious productivity targets.

In its 2022-2025 strategy, the Central Digital and Data Office noted that addressing legacy technical debt could unlock billions in savings. The Cabinet says archaic tech is costing the public sector £45 billion annual savings. This missed “productivity jackpot” is caused by outdated technology, with some departments relying on 70% archaic systems. This costs taxpayers billions in maintenance while causing frequent service outages.

Last year’s State of Digital Government Review found that 47% of central government services still lack a full digital pathway, leaving millions of citizens stuck in “analogue loops” of phone calls and paper forms.

To fix this, the government is launching a digital overhaul using new AI tools ‘Connect’ and ‘Scout’ to speed up energy connections and major infrastructure projects, finally replacing slow, paper-based bureaucracy with modern, efficient services.

The pressure on the public service is three-pronged

The first is ‘The Crisis of Late Intervention’: because legacy systems can’t "talk" to one another, we fail to identify vulnerable citizens until they reach a crisis point (the A&E or the eviction notice), which is the most expensive way to provide care.

The second is ‘Institutional Memory Loss’: high staff turnover means that when an experienced social worker leaves, their "knack" for navigating archaic databases leaves with them.

And finally, ‘The 28% Legacy Trap’: according to the State of Digital Government Review, nearly 30% of central government systems are so old they are ”high risk”. We are spending billions just to keep the lights on in 1990s-era databases.

Bridging the resilience gap

Analysis of public sector productivity reveals that the workforce loses millions of hours each week to “low-value” administrative tasks. When we automate a social worker’s paperwork or a clinician’s data entry, we aren’t just cutting costs – we are giving back the hours required for complex, human-led decisions. As noted by IT Pro, this isn’t about speed; it’s about resilience: ensuring the channel of service delivery remains open and reliable, regardless of the pressure on the system.

Where’s the empathy?

Automation shouldn’t mean the end of human contact, but the strategy needs to be human-first, technology-enabled.

We see why in the NHS today. In August 2025, the elective waiting list in England reached 7.41 million treatment pathways, covering an estimated 6.26 million patients.

AI tools are beginning to allow doctors to give patients their full attention. When note‑taking, coding, and form‑filling are handled in the background, the clinician can actually look at the person in front of them and really listen. In that sense, the right technology protects the human relationship in care.

Beyond silos

There are positive signs that the government is becoming more proactive. The newly formed CustomerFirst unit within the Department for Science, Innovation and Technology is focused on eliminating long wait times, repetitive form‑filling, and outdated processes across public services. To accelerate delivery, the government is bringing in additional private-sector expertise and emerging technology to deliver tangible improvements on the frontline.

This unit will use AI to strip out the “analogue loops” of phone queues, postage, and repetitive form‑filling and replace them with simpler routes to care.

That suggests a different kind of public service. AI‑driven assistants that can guide a jobseeker through benefits, training, and local vacancies, in one place. Predictive tools that flag a failing road surface before it turns into a compensation claim. Systems that spot emerging demand and allow teams to move resources before the queue appears.

The digital mandate

If the government is serious about saving money, it needs to invest in future-fit platforms so billions aren’t spent propping up ageing systems.

That means moving beyond one-off fixes for individual departments and building shared, joined-up digital platforms that multiple services can use – with common identity, consistent user journeys, and secure integration across back-end systems.

Get that foundation right and AI becomes useful infrastructure: improving service quality, reducing friction, and freeing up public servants to do the work only humans can do.

About the author

Mike MacAuley is general manager for Liferay in the UK and Ireland markets. He leads with a passion for innovation and a commitment to excellence. MacAuley’s approach to go-to-market strategy and execution is rooted in a deep understanding of market dynamics and a relentless focus on customer needs. He believes in the power of people management, coaching, and leadership. At the core of his mission is the belief that providing service, support, and guidance is not just about business growth, but about making a difference.