OpenAI expands in UK with new government partnership

UK flag blended with glowing AI circuitry representing OpenAI’s partnership with the British government

OpenAI is making major moves in the United Kingdom. Just hours after naming Fidji Simo as its new CEO of Applications, the company has signed a strategic partnership with the UK government. The goal is to grow its London office, invest in AI infrastructure, and explore how artificial intelligence can improve public services like education, security, and justice.

The agreement lays out OpenAI’s intent to increase research and engineering operations in the UK. It also includes plans to share more technical details with the UK’s AI Safety Institute. The idea is to help the government better understand both the capabilities and risks that come with using frontier AI models.

OpenAI’s CEO Sam Altman said, “AI is a core technology for nation building that will transform economies and deliver growth. Britain has a strong legacy of scientific leadership and its government was one of the first to recognise the potential of AI through its AI Opportunities Action Plan. Now, it’s time to deliver on the plan’s goals by turning ambition to action and delivering prosperity for all.”

The UK government’s Technology Secretary, Peter Kyle, echoed that optimism. “AI will be fundamental in driving the change we need to see across the country – whether that’s in fixing the NHS, breaking down barriers to opportunity or driving economic growth,” he said. “That’s why we need to make sure Britain is front and centre when it comes to developing and deploying AI, so we can make sure it works for us.”

“This can’t be achieved without companies like OpenAI, who are driving this revolution forward internationally,” Kyle continued. “This partnership will see more of their work taking place in the UK, creating high-paid tech jobs, driving investment in infrastructure, and crucially giving our country agency over how this world-changing technology moves forward.”

OpenAI’s London office was its first international outpost and opened just two years ago. Now, with this partnership, the company plans to build on that foundation by expanding local teams and deepening collaboration with UK institutions.

The UK is already investing heavily in artificial intelligence. Its AI Opportunities Action Plan is backed by £2 billion and includes the creation of AI Growth Zones across the country. These zones are expected to become centers of innovation, data centers, and AI-focused job growth. Over 200 locations have already submitted bids, and both Scotland and Wales have been confirmed to host zones as part of the government’s Compute Strategy.

The partnership also acknowledges the role AI is already playing in the UK government. For example, OpenAI’s GPT-4o powers parts of “Humphrey,” the internal AI assistant used by civil servants. One tool called “Consult” automatically processes responses to public consultations, a job that typically takes weeks. Now, it’s done in minutes, freeing up time for policy experts to focus on the decisions that matter.

While the memorandum is not legally binding, it still sends a strong signal. OpenAI is positioning itself as more than just a tech company. It wants to shape how governments adopt and use AI, and the UK is giving it a front-row seat.

With Simo stepping in to lead OpenAI’s application strategy and this UK deal unfolding the same day, the message is clear. OpenAI is scaling its global presence and aiming to integrate itself directly into public life… not just through consumer tools, but inside the halls of power.

Author

  • Brian Fagioli, journalist at NERDS.xyz

    Brian Fagioli is a technology journalist and founder of NERDS.xyz. Known for covering Linux, open source software, AI, and cybersecurity, he delivers no-nonsense tech news for real nerds.

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