Full Breakdown
UK Prime Minister Andy Burnham’s Plan to Merge DSIT Sparks Industry Backlash
7/21/2026, 4:13:45 AM
Core Decision
On Monday, 18 July 2026, newly sworn-in Prime Minister Andy Burnham asked senior officials to draft proposals to abolish the Department for Science, Innovation and Technology (DSIT). The draft would fold DSIT’s functions into a bolstered Department for Business, Innovation, Science and Trade, to be led by former business secretary and chief whip Jonathan Reynolds. Reports also indicate a separate Minister for Artificial Intelligence would be created, with AI oversight in the public sector potentially assigned to Cabinet Secretary Antonia Romeo rather than a dedicated minister.
Background & Context
DSIT was created in 2023 under Prime Minister Rishi Sunak to unite responsibility for science policy, AI strategy, digital regulation and innovation. Since its inception the department has overseen flagship programmes such as the AI Opportunities Action Plan, the AI Safety Institute, the Sovereign AI Fund and the Government Digital Service (GDS). The UK tech sector has been expanding at roughly 10 % per year, and the government has promoted AI as “the defining opportunity of our generation” (Keir Starmer, former prime minister).
Key Figures & Groups
- Andy Burnham – Prime Minister, initiator of the reorganisation.
- Jonathan Reynolds – Secretary of State for Business, Innovation, Science and Trade.
- Antonia Romeo – Cabinet Secretary, possibly to oversee AI use in the public sector.
- Matt Clifford – Former AI adviser to Keir Starmer, senior tech entrepreneur.
- James Cobb – CEO, Crowd Connected.
- Rich Giblin – Head of Public Sector and Defence, SolarWinds.
- Tom Loosemore – Co-founder, Government Digital Service.
- Barney Hussey-Yeo – Technology investor.
- Julian Harris – CEO, Tech UK; Dom Hallas – Executive Director, Startup Coalition.
Official Statements & Responses
The Burnham team has not issued a formal announcement; a spokesperson declined comment when approached for a statement. Government insiders say the restructuring is intended to “streamline decision-making” and place technology policy under a department with broader economic remit. The proposed AI minister would sit at Cabinet level, signalling a focus on artificial intelligence despite the departmental merger.
Criticism & Opposition
Industry leaders argue the move threatens continuity of AI and digital initiatives. James Cobb warned that “the expected scrapping of the Department for Science, Innovation, and Technology, and filing it under ‘business’, would reinforce exactly that mistaken view.” Rich Giblin stressed that “government departments need clarity, not chaos,” warning that budgetary pressures already strain agencies. Tom Loosemore described the plan as “crazy,” noting that “merging Whitehall departments causes at least a year of internal mayhem, distracting from what Ministers actually care about.” Barney Hussey-Yeo warned the UK could lose its “major competitive advantage in its scientific capacity” if senior specialists depart.
Data & Statistics
- DSIT’s creation year: 2023.
- Tech sector growth rate: 10 % annually (industry statements).
- AI-related institutions at risk: AI Safety Institute, Sovereign AI Fund, GDS, UKRI.
Conflicting Reports & Gaps
Some outlets report that the proposals have not been formally signed off, while others cite internal memos confirming that plans are being finalised over the weekend. The exact timeline for appointing the AI minister and the final structure of the merged department remain unspecified.
Verbatim Quotes
- “This would be a big mistake. Right now is a critical moment for tech as an economic and national security issue. Tying up our most senior science and tech officials in a reorg wastes time and energy that’s desperately needed for the actual substance,” — Matt Clifford, AI adviser (former).
- “ He added: “The expected scrapping of the Department for Science, Innovation, and Technology, and filing it under ‘business’, would reinforce exactly that mistaken view.” — James Cobb, CEO, Crowd Connected.
- “Government departments need clarity, not chaos.” — Rich Giblin, head of public sector and defence, SolarWinds.
- “Merging Whitehall departments causes at least a year of internal mayhem, distracting from what Ministers actually care about,” — Tom Loosemore, co-founder, Government Digital Service.
- “Cleo founder Barney Hussey-Yeo added: “The UK has a major competitive advantage in its scientific capacity.” — Barney Hussey-Yeo, technology investor.
What’s Next
Burnham is scheduled to announce his full cabinet on Monday afternoon, with policy statements—including a cost-of-living package—expected later in the week. Industry observers await confirmation on whether the AI minister will be appointed and how quickly the merged department will become operational.
