Wales ‘must be ahead of the game’ on AI – Senedd committee
Wales ‘must be ahead of the game’ on AI – Senedd committee
Artificial intelligence (AI) has the potential to significantly benefit the Welsh economy, but it also poses risks such as job displacement, according to a recent report by the Senedd’s Economy, Trade and Rural Affairs Committee.
The Committee has called on the Welsh Government to develop a comprehensive action plan to maximise AI’s potential while mitigating its challenges.
Following a short inquiry into AI adoption by Welsh businesses, the Committee found that the Welsh Government has made limited progress in planning for AI’s economic impact.
The inquiry considered the opportunities and challenges AI presents, including potential job displacement and the need for skills development.
The Welsh Government said: “We recognise the potential of AI to transform the public sector and the economy in Wales, and we are supporting Wales-based Expressions of Interests for AI Growth Zones. These demonstrate our ambition as a nation and reflect the existing infrastructure and successful partnerships already in place between global and home-grown businesses, academia and government.
“We have also commissioned a review of AI and its potential to grow and support the Welsh economy. With representatives from industry and universities, the review group is considering the role of the public sector, the infrastructure needed – including data centres – and how these can engage the wider AI ecosystem in Wales.”
The Committee’s report highlights the lack of preparation by the Welsh Government and outlines key recommendations, including:
Identifying and supporting areas where Wales has a competitive edge in AI.
Establishing AI growth zones while considering energy and water resource implications.
Analyzing which sectors are most vulnerable to AI-related job losses and supporting affected workers with retraining and reskilling opportunities.
Addressing skills gaps in the workforce related to AI technology.
Andrew RT Davies, Chair of the Senedd’s Economy, Trade and Rural Affairs Committee, emphasised the need for proactive measures.
“AI could bring huge benefits for Wales – but only if we get ahead of the game and prepare for how it could impact our economy,” Davies said. “It’s clear that not enough groundwork has been done to assess where Wales has a competitive edge. Other possible impacts, such as the effect on the labour force, are concerning.”
Davies stressed the importance of supporting businesses to leverage AI while also safeguarding workers who may face job losses due to automation.
He continued: “Our Committee decided to undertake this short inquiry because we’re very aware that not enough analysis has been done – much more work is needed to plan for what’s ahead and to put Wales in a strong position for an AI future,” he added.
The Committee’s findings call for immediate action to ensure Wales is well-prepared to harness AI’s benefits while addressing the potential economic and social challenges that may arise.
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