Question to the Department for Business and Trade:

To ask the Secretary of State for Business and Trade, what assessment he has made of the impact of increases in employment costs on businesses’ decisions on whether to substitute labour with (a) automation and (b) AI.

The fiscal inheritance demanded tough choices in order to fix our public services, to create long-term growth and investment that supports businesses.

Through our plan for small and medium sized businesses we have sought to protect and enable SMEs to prosper.

There is limited conclusive evidence AI is reducing employment. However, the pace of technological change means government is acting now to ensure we are prepared. The AI Economics Institute will monitor impacts on jobs and skills to ensure we can respond quickly, alongside investment in training and lifelong learning to help people adapt and prepare for future jobs.