Has The UK Given Too Much Power To Big Tech?

Andy Burnham has not even entered Downing Street yet, but one issue is already dominating discussion: can the next prime minister take back control of the country’s digital infrastructure after years of growing dependence on American technology companies?

New comments from David Sherman, AI and Financial Inclusion Strategist at io.net, and a public letter from Global Justice Now and its allies reach the same conclusion. Britain’s relationship with Big Tech has become deeply embedded in government, public services and the country’s AI ambitions. The next government now faces decisions that could determine how much control Britain has over its own digital future.

How Dependent Has Britain Become On US Tech Companies?

David Sherman says the problem did not start recently and that contracts signed under Keir Starmer’s government have left Britain reliant on infrastructure owned and operated by American companies.

Sherman said, “Starmer’s gone, but the AI contracts he signed aren’t. His government locked the UK into £14 billion in cloud deals through to 2030, tying the country to Amazon, Microsoft and Google infrastructure for years.”

The scale of those agreements reaches multiple government departments. Sherman said, “The MoD handed Google a £400 million “sovereign cloud” contract while HMRC gave Amazon £500 million as the sole bidder.”

That dependence affects much of government. Sherman believes the next prime minister will inherit a public sector that largely runs on technology infrastructure located outside British control.

He said, “Whoever walks into Downing Street inherits a public sector that runs almost entirely on American servers, with energy costs passed straight to households.”

What Could Andy Burnham Do Differently?

Sherman believes Britain already has much of the computing capacity it needs.

According to him, the problem is that existing resources are not being used efficiently because government contracts continue to funnel work through a small group of multinational providers.

He said, “Data centres now account for 40% of UK electricity demand growth, and most of the computing power they’re built for sits idle.”

Sherman wants the next government to look at computing resources already available through smaller providers, universities and businesses.

He said, “To make sure Britain can actually compete in the AI era without bleeding households dry, the next PM needs to stop funnelling everything through three American monopolies and start looking at what’s already out there.”

He added, “There are networks that stitch together thousands of smaller providers, businesses and universities into shared computing power. The capacity exists. It’s just not being used.”

Is Digital Sovereignty Becoming A Political Issue?

The issue of digital sovereignty now extends into politics as well as tech.

In an open letter addressed to Andy Burnham, Global Justice Now and allied organisations say Britain’s dependence on American technology companies has become a political and economic problem.

The group wrote, “We must regulate Big Tech.”

The letter says Britain’s enthusiasm for AI has come at a cost. According to the signatories, government policy has encouraged dependence on US technology providers and weakened regulatory oversight.

They wrote, “Britain’s embrace of AI has led us to soft-peddle the regulation of Big Tech corporations, deepen our dependence on US Big Tech and sign government contracts with toxic companies like Palantir.”

The organisations want a different model. They wrote, “We need a new approach which builds digital sovereignty, tackles monopoly power, maintains climate goals and prevents mass unemployment.”

Can The Next PM Bring Control Back To Britain?

The incoming prime minister will face many immediate demands, from economic growth to public services. Digital infrastructure may not be one of the leading news stories currently, but it now forms a key element of how government operates.

Sherman’s comments and the Global Justice Now letter ask the same thing. Should Britain continue relying on a handful of American tech companies, or should it build a system that gives more control to domestic providers, universities and public institutions?

Burnham’s supporters often view him as a champion of innovation. If he wants to put more control back into British hands, digital infrastructure could become one of the first areas where that promise is judged.

The contracts already exist and so does the dependence but the decision now will depend on what the next government chooses to do about it.