UK AI Deputy Minister Kanishka Narayan backs chip production

Kanishka Narayan, the newly appointed UK deputy minister for artificial intelligence, said the government will focus on domestic AI chip manufacturing, hardware infrastructure and AI‑enabled drones as central elements of a “reindustrialisation” strategy. The appointment follows Prime Minister Andy Burnham's first‑day reshuffle, promoting Narayan to a cabinet‑level post and creating an AI Taskforce that reports directly to the prime minister.

Narayan highlighted the strategic and economic value of semiconductor production, noting that most of the value chain, supply‑chain constraints and national security implications lie in hardware. The government plans to allocate £1.1 billion for AI hardware development, with £150 million earmarked for purchasing new UK‑made chips. Policies will include visa incentives for engineers, regulatory reforms and support for companies such as Arm to keep jobs and strategic expertise in Britain.