Sovereign AI Unit has announced a £500 million fund with a focus on backing UK artificial intelligence startups developing strategic technologies, including drug discovery, AI infrastructure and advanced computing systems.
The fund is designed to invest directly in UK-based AI companies and support them to start, scale and compete globally, with a focus on keeping high-value innovation, expertise and economic value within the UK. It backs founders building technologies linked to economic prosperity and national security, including AI models, computer chips and life sciences applications such as treatments for Alzheimer’s and Parkinson’s disease.
The initiative is structured to operate at the pace of the AI industry, acting in a similar way to a venture capital fund while using government capabilities to support companies. Support extends beyond funding to include fully funded access to the UK’s largest AI supercomputers, with up to 1 million GPU hours available per startup through the AI Research Resource network. Companies will also receive fast-track visa decisions within a working day, access to an initial allocation of cost-free visas for global research and development talent, and support navigating data access, procurement opportunities and regulatory pathways.
The first equity investment from the fund is in Callosum, an AI infrastructure startup developing systems to coordinate models and chips. Six additional companies - Prima Mente, Cosine, Cursive, Doubleword, Twig Bio and Odyssey - will receive access to supercomputing resources, with the fund holding a right of first refusal on future investments. The unit is also in discussions with around 30 further firms regarding potential access to compute capacity.
As part of a wider £282 million research and development offer, Sovereign AI Unit is launching its first funding call to support the creation of new datasets and assets aimed at helping AI companies build, test and scale technologies in the UK. The programme is positioned as a national effort to back domestic AI founders and reduce reliance on foreign technology providers in critical sectors.
We believe in Britain and we are betting on Britain. We are backing our brilliant innovators and entrepreneurs so we seize the benefits of AI to reshape Britain for the benefit of all. Sovereign AI is unlike anything Government has ever done before. Its unique approach will help break down the barriers that have too often held back British enterprise and innovation. This is how we ensure Britain’s economic prosperity and national security in the modern age
AI as a technology could be transformational for both our wealth and security. Britain has the foundations be a global AI leader in many fields, with a unique and enviable mix of talent, capital, and infrastructure which make this country the natural home for world-leading innovation. Now, through Sovereign AI, we can use the state’s unique capabilities to double down on these strengths, backing Britain’s founders to scale here in the UK and globally.
We have the right economic plan – backing business so the technologies of the future are invented, built and deployed here in Britain. A thriving domestic AI sector is one of my three big choices for the economy, and by supporting strategic national champions we can ensure internationally competitive companies start, scale and stay here in Britain.
As a business that has successfully grown and launched in the UK, we’re thrilled to support the launch of the Sovereign AI Unit, which will help support emerging companies, attract talent, and ultimately ensure UK AI champions can compete on the global stage. We’re excited to see the next generation of British AI companies benefit from the funding opportunities available and join us in supporting the UK’s expanding AI ecosystem.
