BidSkim Research · Procurement Data Series No. 1

Artificial intelligence in UK public procurement, 2022 to 2026

How public sector spending on AI has changed since the release of ChatGPT in 2022.

AI-related procurements
2,083
January 2022 to August 2026
Public-sector buyers
616
councils, trusts, departments, universities
Published award value
£1.84bn
1,506 awards with a published value
Value held by overseas suppliers
65%
from 33% of valued awards
Author
Seamus White
Edition
Published 2026-09-15
Notice window
January 2022–August 2026
Supplier evidence
Checked to 15 September 2026

ChatGPT was released on 30 November 2022. In the four years since, artificial intelligence has moved from a research interest of a few departments to a standing commitment of government policy. Each step in Figure 0 carries a claim about buying: that the public sector will buy more AI, buy it from British companies, buy it more transparently, and save money by doing so.

Figure 0. Policy milestones since the release of ChatGPT, against AI-related procurements published each month
POLICYNov 2022ChatGPT releasedNov 2023Bletchley summit; AI Safety InstituteJan 2025AI Opportunities Action PlanFeb 2025Procurement Act 2023 live2026£100m Sovereign AI scheme2026DSIT wound up; FDP reviewAI-RELATED PROCUREMENTS PUBLISHED EACH MONTH02040602022202320242025202674 in 2025-12All AI-related procurementsOf which generative or language-modelto August 2026
Milestones are placed at the month of publication; 2026 items are placed approximately. Bars count AI-related procurements by month of first publication, January 2022 to August 2026; amber marks those whose notice states a generative or language-model technique. DSIT: Department for Science, Innovation and Technology. FDP: NHS Federated Data Platform.

To date, the scale and nature of AI contracts awarded by UK public bodies has not been recorded. This includes information relating to their purpose, value, who bought them, and who won them. Existing figures instead measure neighbouring but distinct phenomena: the NAO has surveyed the central government about AI deployment and Tussell reports £5bn since 2018, a total dominated by keyword matching, missing many contracts that don’t contain these words. As a consequence, none read the whole record, nor do they apply a definition a reader can check or clearly categorise each contract.

Definition of AI procurement used in this report

A procurement is classed as AI-related when:

  1. the thing bought is, or depends on, a machine-learning, language-model, speech, vision or autonomy capability;
  2. AI is the subject of the work: research, training, governance, recruitment or funding its development; or
  3. the purchase provides computing for AI, or directly supports an AI computing facility through construction, advice, power, cooling or operation.

Everything a looser definition would sweep in, such as rules-based automation, data apprenticeships and software that merely carries an AI label, is reported separately as adjacent, so a reader who draws the line elsewhere can move it with one filter.

Data and methodology

Public bodies do not buy "AI". They buy drones and dictation tools, chatbots and cancer-screening models, pothole cameras and policy studies. We described 44 such lines of work, grouped into twelve families, each with a definition of what it looks like in a contract notice. Those descriptions are what we searched for. Every procurement in the record was compared against every line, so a notice for "caseworker transcript tool" or "multi-modal traffic sensor" surfaced even though neither explicitly mentions AI.

Each candidate was then read in full by Claude Opus 5 under the fixed definition and a written rule set, and every AI verdict was read at least three times; boundary cases were ruled on by the author. A verdict does not just say yes or no. It records which line of work the contract belongs to, the technique where the notice states one (generative, predictive, vision or speech, autonomy), the buyer's sector, the commercial route, and a quoted evidence string from the notice with a link to its source.

That is what allows the report to say not only how much AI is being bought but what kind, by whom, from whom, and how fast generative AI is displacing the rest. The dataset is published under an open licence.

About the data

Every figure in this report is drawn from BidSkim's proprietary database of UK public procurement, built by collecting, cleaning and structuring the official record daily.

Source
every notice published on the four UK statutory portals, Find a Tender, Contracts Finder, Public Contracts Scotland and Sell2Wales, all released under the Open Government Licence. For this report, 874,032 notices first published between September 2021 and August 2026, grouped into 581,864 procurements.
Unit
the procurement, counted once and dated to its first notice, so that a tender, its award and any later modification are not counted multiple times
Value
the published value of awarded contracts, taken from the award notice. Framework ceilings, tenders with no award, and awards with no stated value are excluded rather than estimated, so every value figure is a minimum.
Suppliers
winners are matched to the Companies House register, including the register of persons with significant control, to establish whether a supplier is a UK company, a UK-headquartered multinational, or headquartered overseas or under foreign ownership; the supplier's own website settles the remainder.

1 Key findings

Public bodies are buying AI for everyday work: writing clinical notes, recording council casework, analysing images and supporting defence research. This study identifies 2,083 AI-related procurements across 616 buyers, with £1.84bn in published contract value. The market is broad, but the money is concentrated: four contracts account for 42.1% the total, while SMEs win many smaller awards.

  1. Suppliers assessed as SMEs account for 53% of valued awards by count, but 17% of their value. Subsidiaries are assessed under their parent’s accounts when determining SME status. Figure 11.
  2. Four contracts account for 42.1% of published value. At the other end, half of awards with published values are at or below £107k, and three quarters at or below £300k. Contract values and concentration.
  3. Overseas suppliers account for 33% of valued awards and 65% of value. The grouping includes UK subsidiaries of foreign-controlled companies. Figure 14.
  4. AI infrastructure carries £292.1m in eligible award value. This includes £84.1m for data centres, site preparation, advice and other supporting work. Data centres and their supporting work.
Procurement
One buying exercise, counted once even when several notices describe it, from the initial announcement through to award
Award value
The selected published amount in the award notice
Framework
An agreement setting the terms for future purchases. Its maximum value is excluded; individual contracts awarded through it can be counted.

2 Volume and published value

Figure 1. AI-related procurements by year and category
Sensing & physical-world visionCasework, documents & automationResearch, safety & innovation fundingData science, models & platformsClinical & health AISkills & peopleOther categoriesProcurements020040060080028420223172023424202457020254882026*
Categories are the families used in Figure 3 and defined in the annex; the six largest are shown and the remaining six are grouped as other categories. 2026 covers January to August. Year is first observed publication, not payment or award year; changing notice coverage limits comparisons.
Figure 2. Published award value by year of first publication
£ million01002003004005006003732022400202319620245112025538 at full-year pace3582026*
Whole contract amounts are recorded once, not spread over their service years. The dashed 2026 extension is the eight-month total scaled to twelve months. 2026 covers January to August. Year is first observed publication, not payment or award year; changing notice coverage limits comparisons.

3 What was bought

Figure 3. AI-related procurements by category, coloured by kind of work
Operational toolsResearch and fundingSkills and peopleAdvice and deliveryInfrastructureFrameworksSensing & physical-world vision407Casework, documents & automation294Research, safety & innovation funding277Data science, models & platforms249Clinical & health AI226Skills & people158Citizen & customer contact124Productivity licences & readiness94Governance, security & legal90Advisory & delivery partners89AI computing infrastructure and enabling works42Commercial vehicles33
Counts include all AI-related records, not only confirmed awards. Colour groups the twelve categories into six kinds of work; the same colours are used wherever kinds of work are compared.
Table 1. The largest purchased categories
CategoryProcurementsEligible valued awardsMedian value
Autonomy, robotics & drones with AI15775£222k
Predictive analytics & bespoke ML models133109£135k
Transcription, summarisation & meeting notes10389£75k
Policy research, sector studies & surveys9378£77k
AI safety, assurance & evaluation research8771£200k
Facial recognition, biometrics & policing vision8154£166k
Traffic, transport & rail vision8060£79k
AI training, bootcamps & courses8056£75k
Records, search, knowledge & document AI7757£75k
Chatbots & virtual assistants7555£106k
Data & AI platforms and architecture6852£394k
Ambient voice & clinical documentation6647£124k
Median uses all awards with published values in the category and is shown only with at least five observations.

3.1 Generative AI

Figure 4. The generative wave: share of procurements that state a generative or language-model technique
GENERATIVE SHARE OF PROCUREMENTS WITH A STATED TECHNIQUE0%20%40%60%3%202210%202325%202426%202531%2026*From 3% of stated techniques in 2022 to 31% in 2026.
Of procurements whose notice states any technique. 2026 covers January to August. Year is first observed publication, not payment or award year; changing notice coverage limits comparisons.
Figure 5. What generative AI is bought for: the eight largest generative categories
GENERATIVE OR LANGUAGE-MODEL PROCUREMENTS, 2022 TO AUGUST 2026Generative AI pilots, PoCs & experimentation32Microsoft Copilot & M365 AI licences26Transcription, summarisation & meeting notes22Challenge competitions & innovation funds18Records, search, knowledge & document AI18LLM, SaaS AI tool & API licences17AI safety, assurance & evaluation research13Chatbots & virtual assistants13
Procurements whose notice states a generative or language-model technique, January 2022 to August 2026.

The chart excludes 1,095 records that do not identify a technique. Work about AI, such as research programmes, courses or governance, often does not specify one. These records remain in the downloadable data.

4 Buyers and public services

Figure 6. Buyer sectors by number of procurements and by published value
PROCUREMENTSPUBLISHED VALUE, £mLocal government478100Central government345360Health329294Defence and security201595Education and universities142266Police and justice13881Research bodies11227Other11252Regulators6311Transport437Housing4329Utilities and energy4110Devolved government366
Same sector order in both columns, ranked by procurements. Left: all AI-related records. Right: awards with published values only; large platform agreements affect the ranking. Sector describes the buyer, not the supplier or where the work is delivered.
Table 2. Buyers with the most AI-related procurements
BuyerProcurementsPublished value
Ministry of Defence114£541.0m
Department for Science, Innovation & Technology (DSIT)103£56.8m
Defence Science and Technology Laboratory (Dstl)62£22.5m
Home Office49£44.3m
Department for Education39£11.5m
UK Research and Innovation (UKRI)30£52.4m
Department for Work and Pensions28£30.2m
Department of Health and Social Care28£12.0m
BEIS26£4.8m
Government Commercial Agency23£11.0m
Department for Environment, Food and Rural Affairs23£5.3m
UK Shared Business Services (UK SBS)23£3.5m
Values use eligible awards; a buyer can have many records without a published award value.

4.1 Health: documentation, clinical decisions and imaging

Health bodies made 259 confirmed awards. The 236 with a published value total £293.9m, 16.0% of all published value in this report. By count, three clinical categories lead: clinical documentation and speech tools (46, 18%), triage, decision support and patient-facing tools (38, 15%) and diagnostic imaging (36, 14%). Together they are 46% of health awards but 11% of health value.

By value, data and AI platforms dominate: 14 awards carry £229.7m, 78% of health value, and the £182.2m Federated Data Platform contract alone accounts for 62%. Documentation includes conventional speech recognition as well as newer ambient recording tools.

Table 3. Health: confirmed awards and published value by category
CategoryConfirmed awardsShare of sector awardsPublished valueShare of sector value
Ambient voice & clinical documentation4618%£14.2m5%
Clinical triage, decision support & patient-facing tools3815%£12.1m4%
Diagnostic imaging AI3614%£5.2m2%
NHS AI programmes, awards & evaluation197%£11.4m4%
Data & AI platforms and architecture145%£229.7m78%
Digital pathology & laboratory AI104%£1.6m1%
Other categories9637%£19.8m7%
All categories259100%£293.9m100%
Confirmed awards include those without a published value; value shares use the awards with one.

4.2 Policing and justice: identification and image analysis

Facial recognition, biometrics and policing vision account for 43 of 103 confirmed awards (42%) and £38.8m of the sector’s £81.1m published value (48%); the sector holds 4.4% of all published value. The category includes biometric services and image-analysis tools, not just live facial recognition. Licences are the other large item by value: 4 Microsoft Copilot awards carry £23.6m (29%) and 4 language-model and SaaS licences £7.2m (9%). There are also 5 awards for generative-AI pilots and 6 for data and AI platforms. The sector includes the Home Office, police, courts and prisons.

Table 4. Policing and justice: confirmed awards and published value by category
CategoryConfirmed awardsShare of sector awardsPublished valueShare of sector value
Facial recognition, biometrics & policing vision4342%£38.8m48%
Data & AI platforms and architecture66%£1.7m2%
AI delivery, build & integration partner55%£4.9m6%
Generative AI pilots, PoCs & experimentation55%£402k0%
Records, search, knowledge & document AI44%£1.4m2%
LLM, SaaS AI tool & API licences44%£7.2m9%
Other categories3635%£26.7m33%
All categories103100%£81.1m100%
Confirmed awards include those without a published value; value shares use the awards with one.

4.3 Local government: casework and day-to-day services

Councils account for 478 procurements, 23% of the total, and 409 confirmed awards, but only £100.4m of published value (5.5%): council contracts are numerous and small. Transcription, summaries and meeting notes is the largest single category, with 74 awards (18%). Two vision categories, traffic and transport vision (54) and road-condition surveys (43), together account for 97 (24%). Predictive analytics accounts for 48 awards and chatbots for 38. By value the order changes: chatbots (£18.9m, 19%) and road-condition surveys (£18.0m, 18%) lead.

Table 5. Local government: confirmed awards and published value by category
CategoryConfirmed awardsShare of sector awardsPublished valueShare of sector value
Transcription, summarisation & meeting notes7418%£10.1m10%
Traffic, transport & rail vision5413%£5.5m5%
Predictive analytics & bespoke ML models4812%£12.4m12%
Road & highway condition surveys4311%£18.0m18%
Chatbots & virtual assistants389%£18.9m19%
Records, search, knowledge & document AI154%£874k1%
Other categories13733%£34.6m35%
All categories409100%£100.4m100%
Confirmed awards include those without a published value; value shares use the awards with one.

5 Data centres and their supporting work

AI computing infrastructure accounts for £292.1m across 28 eligible valued procurements. This includes £84.1m for buildings, site preparation, specialist advice and other supporting work. Buying the computers is one part of the public procurement footprint: facilities also need space, power, cooling and professional services.

Figure 7. AI infrastructure: what the contract pays for
£292.1m ACROSS 28 VALUED PROCUREMENTS61%28%Supporting work (buildings, advice, power, cooling, operations): £84.1m · 29% of the totalComputing systems · £178.0m · 4 awardsBuildings and construction · £83.0m · 3 awardsCombined computing and facility works · £15.8m · 1 awardStorage, hosting and networks · £11.6m · 1 awardIndividual AI servers and workstations · £2.7m · 12 awardsDesign and construction advice · £551k · 3 awardsProgramme advice and evaluation · £398k · 3 awardsHeat recovery · £60k · 1 award
Whole published contract amounts. Individual AI servers and workstations are separate from shared facilities. A combined system-and-installation contract is shown once; its price is not split without source evidence.

Construction and construction advice are included when the notice or a linked project source establishes a connection to an AI computing facility. The same rule covers power connections, cooling, heat recovery, planning and commercial advice. A general campus contract, an ordinary cloud subscription, or a building described as “AI-ready” does not establish that connection.

Figure 8. AI facilities and shared compute: published value by project
Computers, storage and networksCombined computing and facility worksBuildings, advice, power and operationsBristolIsambard-AI and data facility£187.5m3 awardsEdinburghnational supercomputer£54.1m2 awardsDaresburyHartree Centre£45.3m3 awardsOther facilities and shared compute£2.2m4 awardsAIRR programme-wide£361k2 awardsCulham AI data-centre programme£110k2 awards
Identified facilities and shared-compute work only; individual servers and workstations are excluded from this figure. Each procurement is allocated once. Programme-wide advice stays with the programme. These are observed awards, not complete project budgets or AI-only costs.
Table 6. Examples of the infrastructure procurement footprint
Work purchasedPublished valueSource
CR4 extension and infrastructure for Edinburgh’s next national supercomputer£53.6mAward notice
Main building works for the Hartree supercomputing centre at Daresbury£28.7mAward notice
Storage for Bristol’s AI Data Facility supporting Isambard-AI£11.6mAward notice
Feasibility study for recovering data-centre heat at Culham£60kAward notice
The Culham award purchases a study; it is not a commitment to build a heat network. The Edinburgh works support a mixed scientific and AI resource, so no AI-only share of their cost is inferred.

A published contract can confirm that preparatory work has been bought while the main facility is still proposed. The study therefore separates signed awards from intended awards, frameworks, concession values and investment announcements. The announced scale of a development cannot be added to the awards for its component work.

General-purpose data-centre records are identified in the evidence pack, with their own scope and review fields. They are excluded from the AI total when AI use is unestablished. Procurement notices also omit parts of private development, grants, land transactions and electricity arrangement. This is a record of observed public purchases.

6 Suppliers and SME participation

Figure 9. Who sells the most, and to whom: the 25 most frequent winners
CONFIRMED AWARDSWHO THEY SELL TOSIZEBeam7890% local govtSMEVivaCity Labs4798% local govtSMEVoicescape4042% local govtSMEFaculty2741% central govtNon-SMECambridge Spark2446% central govtSMEMobysoft Uk Ltd2374% local govtSMEICS.AI2383% local govtSMESoftcat Ltd - Fca2227% healthNon-SMEVaisala19100% local govtNon-SMEPalantir1844% healthNon-SMEPhoenix Software1540% policeNon-SMEFrazer-Nash Consultancy1553% defenceNon-SMECapgemini1471% central govtNon-SMEQA1242% central govtNon-SMEGaist12100% local govtSMECreatec1145% research bodiesSMEDeloitte922% central govtNon-SMEDataminr933% healthNon-SMENetcall944% healthNon-SMEEpiq838% central govtNon-SMEXantura8100% local govtNon-SMEboxxe825% central govtNon-SMEBytes838% central govtNon-SMEAdarga875% defenceSMEBeebot AI8100% local govtSMELocal governmentHealthCentral governmentDefenceUniversitiesPolice and justiceOther
Confirmed awards; a supplier is counted once per procurement and joint awards count for each named supplier. The bar on the right splits each supplier’s awards by buyer sector; the last column is the assessed size. A reseller is counted as the contracting supplier.
Figure 10. Who gets paid the most, and by whom: the 25 suppliers with the largest published value
PUBLISHED VALUEWHO PAYS THEMAWARDS · SIZEPalantir£552.8m59% defence16 · Non-SMEQuantexa£186.0m100% central govt5 · Non-SMEHPE£175.9m100% universities1 · Non-SMESeeByte£54.8m100% defence4 · Non-SMERobertson Construction£53.6m100% universities1 · Non-SMECapgemini£33.8m61% defence12 · Non-SMETKMS Atlas£32.2m100% defence3 · Non-SMEiProov£29.2m60% central govt5 · SMERussell WBHO£28.7m100% other1 · Non-SMEFaculty£28.6m38% central govt26 · Non-SMEMSubs£23.4m71% defence4 · SMEPA Consulting£21.9m97% defence7 · Non-SMEIBM£21.1m99% central govt6 · Non-SMEHadean£20.0m100% defence1 · SMETrustmarque£19.7m100% police3 · Non-SMEICS.AI£18.9m92% local govt20 · SMECapgemini-led consortium£17.5m100% defence1 · Non-SMELenovo£15.8m100% research bodies1 · Non-SMEAdarga£14.9m98% defence6 · SMEGaist£13.1m100% local govt7 · SMECACI£13.0m100% police1 · Non-SMEDell£12.4m100% universities4 · Non-SMEAccurx£12.3m82% other4 · SMENPL£10.7m98% central govt3 · Non-SMEBeam£10.6m95% local govt77 · SMELocal governmentHealthCentral governmentDefenceUniversitiesPolice and justiceOther
Awards with a published value; a joint award’s full value is shown against each named supplier, so rows are not additive. The bar on the right splits value by buyer sector.

Under the current UK procurement definition, small and medium-sized enterprises (SMEs) have fewer than 250 full-time-equivalent staff and annual turnover of no more than £44m or total assets of no more than £38m. Government guidance also requires related businesses to be considered. Group accounts and established parent relationships take priority over notice declarations. Joint awards take the larger assessed supplier. The CSV separates researched size, declarations, inference and assumptions.

Figure 11. Supplier size: share of awards and published value
SHARE OF VALUED AWARDS53% SME47% non-SMESHARE OF PUBLISHED VALUE17% SME83% non-SMESMEs win half the contracts and a sixth of the money.Each square is one per cent. Assessed supplier size; valued awards only.
All awards with published values. Of 796 SME awards, 304 use inference and 24 use the missing-evidence fallback. These are estimates, not verified eligibility decisions.
Figure 12. Awards by year and assessed supplier size
SMENon-SMEShare of confirmed awards0%25%50%75%100%20222023202420252026*58%42%52%48%54%46%54%46%59%41%
Figure 13. New suppliers keep arriving: confirmed awards to first-time winners each year
Awards to suppliers winning their first public AI contractAwards to returning suppliers100% new202261% new202355% new202443% new202541% new2026*Every 2022 supplier is “new” by construction; the story starts in 2023.
A supplier is a first-time winner in the year of its first AI-related award in the record. 2026 covers January to August. Year is first observed publication, not payment or award year; changing notice coverage limits comparisons.

7 UK and overseas suppliers

UK suppliers account for 66.3% of valued awards and 35.0% of published value. Overseas suppliers account for 33.3% of awards and 64.8% of value. The remaining 0.5% of awards (0.1% of value) are 5 joint awards naming suppliers of both kinds and 2 awards whose notice names no supplier.

Figure 14. Who wins the work, who gets the money: share of contracts and share of value by supplier group
Share of contracts wonShare of money0%25%50%75%100%UK suppliers66% of contracts35% of moneyOverseas suppliers33% of contracts65% of moneySMEs53% of contracts17% of moneyLarge companies47% of contracts83% of money
Valued awards only. UK and overseas exclude joint and unresolved awards; SME size is the assessed reporting status. Current supplier evidence is applied across the reporting window; the CSV keeps the fuller grouping (UK company, UK-headquartered multinational, overseas-headquartered or foreign-owned, public or academic body, not established).

7.1 How suppliers are grouped

UK supplier: headquartered in the UK with no established foreign control. This includes UK-headquartered multinationals and UK universities and public bodies supplying work.

Overseas supplier: headquartered outside the UK, or under established foreign control. This includes UK subsidiaries of foreign-controlled groups and overseas public and academic bodies.

Joint or not established: joint awards naming suppliers of both kinds, awards whose notice names no supplier, and suppliers with insufficient headquarters or control evidence.

Established foreign control takes priority over a UK headquarters. A UK grouping does not establish UK ownership: where control is unresolved, headquarters and operating reach decide. Of the 1,506 valued awards, 536 went to UK companies with a domestic footprint, 363 to UK-headquartered multinationals and 121 to public or academic bodies; the CSV keeps these fields separate.

These categories describe suppliers, not where work is delivered or where payments ultimately go. They use the latest researched evidence, rather than ownership at the award date.

8 Contract values and concentration

Figure 15. Largest eligible published award values, coloured by buyer
Ministry of DefenceNHS EnglandUniversitiesHMRCMinistry of DefencePalantir£240.6m13% of all valueNHS EnglandPalantir£182.2m10% of all valueUniversity of BristolHPE£175.9m10% of all valueHMRCQuantexa£175.0m10% of all valueMinistry of DefencePalantir£75.2m4% of all valueUniversity of EdinburghRobertson Construction£53.6m3% of all valueMinistry of DefenceSeeByte Ltd£50.0m3% of all valueMinistry of DefenceAtlas Elektronik£31.8m2% of all value
Whole contract values, £ million. The small label gives each contract’s share of all published value.

The four largest records carry 42.1% of published value. The two Palantir agreements account for £422.8m (23.0%).

Table 7. Value basis of the largest contracts
Contract / sourcePublished valueInterpretation
MoD / Palantir£240.6mUK7 confirms signature on 30 December 2025. Three-year enterprise agreement, commencing April 2026.
NHS England / Palantir£182.2mPublished estimate based on use; the notice explicitly says expenditure is not committed. Contract under review.
University of Bristol / HPE£175.9mAI computing infrastructure. F15 amount, with subsequent buyer confirmation of delivery. Programme funding is a different figure.
HMRC / Quantexa£175.0mMaximum including options, licences and services. Initial software commitment is £80,912,019.

Published award value records whole contract amounts. The notices do not measure payments made or isolate the cost of AI within a wider contract.

Figure 16. The largest contract’s share of each sector’s published value
SHARE OF THE SECTOR’S PUBLISHED VALUE IN ITS SINGLE LARGEST CONTRACTDefence and security£594.9m across 137 awards40% · £240.6m · Ministry of Defence / PalantirCentral government£360.0m across 274 awards49% · £175.0m · HMRC / QuantexaHealth£293.9m across 236 awards62% · £182.2m · NHS England / PalantirEducation and universities£266.0m across 97 awards66% · £175.9m · University of Bristol / HPELocal government£100.4m across 385 awards12% · £12.0m · Blackpool Council / Gaist LimitedPolice and justice£81.1m across 98 awards24% · £19.6m · Crown Prosecution Service / Trustmarque Solutions Ltd
Six largest sectors by published value. The label names the contract.
Figure 17. How big is a typical AI contract: published value by buyer sector
PUBLISHED VALUE OF AWARDS (log scale): 25th to 75th percentile, dot = median£10k£100k£1.0m£10.0mDefence and securitymedian £250kHousingmedian £209kCentral governmentmedian £143kPolice and justicemedian £140kUtilities and energymedian £129kTransportmedian £120kHealthmedian £109kOthermedian £105kResearch bodiesmedian £97kEducation and universitiesmedian £96kLocal governmentmedian £89kRegulatorsmedian £73k
Sectors with at least 20 valued awards. The bar spans the middle half of contracts; the dot is the median.
Figure 18. Published value by purchased scope
45%16%14%9%9%Mixed data and AI platforms · £830.7mAI infrastructure · £292.1mAI functions and products · £255.3mAdvice and delivery · £163.9mAutonomy / uncertain · £159.3mResearch and evaluation · £102.5mSkills and people · £34.3mOne bar, read left to right by published value. Mixed data and AI platforms are whole contracts in which AI is one function among several.
The narrower AI-function/product subset is a sensitivity view, not an independently measured AI-only cost. Entire mixed-platform and infrastructure contracts are shown separately.

8.1 Frameworks and ceilings

A framework is a pre-competed route for future purchases. Its ceiling is excluded: a £1bn ceiling followed by three £200,000 purchases represents £600,000 of contracts, not £1bn of expenditure. Individual call-offs can enter the total when the published record confirms an eligible award. Unresolved framework roles remain excluded.

9 Method and reliability

The introduction describes how candidates were found and read. This section records the counts and the rules that decide what is counted.

Retrieval. The searches ran over an archive of 582,443 procurement records. Six routes were combined: AI terms in titles and descriptions, the same terms in structured summaries of the work, named AI products, a list of suppliers whose only product is AI, and semantic search against the 44 category descriptions in the annex. 16,870 candidates were read in full. A keyword sweep run on 15 September 2026 as a recall check found 305 further awarded procurements that the candidate set had never judged, most of them false matches such as “LLM” for lease and landlord management or “AI” for avian influenza; each was judged under the same rules, with three independent reads for any row judged AI-related or adjacent, and 14 were added as AI-related and 88 as adjacent. Of the 2,083 procurements included, 1,333 matched the saved direct AI-term query and 750 (36%) did not. Product, supplier and semantic routes overlap, so the 750 cannot all be attributed to semantic search alone. The discovery period was longer than the final reporting window.

Figure 19. What a keyword search misses: share of each category with no AI term in the notice
SHARE OF PROCUREMENTS WITH NO AI TERM IN THE NOTICESensing & physical-world vision75% (305 of 407)Data science, models & platforms52% (129 of 249)Governance, security & legal48% (43 of 90)Casework, documents & automation36% (107 of 294)Research, safety & innovation funding23% (63 of 277)Clinical & health AI22% (50 of 226)Citizen & customer contact16% (20 of 124)Productivity licences & readiness14% (13 of 94)Commercial vehicles12% (4 of 33)AI computing infrastructure and enabling works12% (5 of 42)Advisory & delivery partners7% (6 of 89)Skills & people3% (5 of 158)
Categories with at least 30 procurements. Amber: half or more would be invisible to a keyword search of the portals.

Notices describing the same purchase are linked and counted once. The report covers procurements first observed from January 2022 to August 2026. Starting in 2022 includes the year ChatGPT launched and provides a baseline before its wider adoption.

Only notices published by the end of August 2026 are used. Award values dated outside the reporting window are excluded. Where an award date is missing, the record must still confirm an award by the cutoff.

The value total includes confirmed contracts with a usable published amount in pounds sterling. An announcement that a buyer intends to award a contract is not enough: the evidence must confirm the award or delivery. This distinction matters because some notices are published before the contract is signed.

The latest confirmed amount is used, including stated options or estimates. Repeated notices are not added together, and joint contracts are counted once. Conflicting amounts are excluded until they can be reconciled. Each included value links to the notice that supports it.

Framework ceilings are excluded: they describe potential future purchases. Individual contracts placed through a framework can be included when an award and its value are confirmed.

9.1 Classification and review

Each AI-related procurement from the original AI search was classified in repeated Claude Opus 5 assessments. The author reviewed the AI-related and borderline cases, recording decisions on disputed boundaries and reconciling inconsistent classifications. The dataset retains the category, rationale and source links for each decision.

A separate data-centre search reviewed 12,821 available candidate records. A stricter second review covered 4,355 relevant, uncertain and sampled excluded records. AI-assisted review checked the available notice text, the connection to AI computing, award confirmation and published value. Human review of the included records and their values was completed before publication. Decisions and source links are retained in the data.

10 Coverage, interpretation and other sources

BidSkim combines Find a Tender, Contracts Finder, Public Contracts Scotland and Sell2Wales. These portals cover public purchasing across the UK, from local contracts to national programmes. The same procurement can appear on several portals; linked notices are counted together.

Table 8. Publication of goods and services contracts
BuyerTypical publication rules
England and UK central governmentAward details generally become reportable at £12,000 for central government and £30,000 for other authorities, including VAT. These thresholds replaced £10,000/£25,000 in December 2022. NHS trusts use £12,000 for new procurements under the rules introduced in February 2025.
WalesNew devolved Welsh procurements generally require award details from £30,000 including VAT through Sell2Wales. Earlier years followed different rules and policy commitments.
ScotlandRegulated goods and services opportunities and awards generally appear on Public Contracts Scotland from £50,000 excluding VAT.
Northern IrelandThis dataset captures Northern Ireland notices on Find a Tender. It does not ingest eTendersNI directly, limiting coverage of smaller purchases.

A tender notice invites bids; an award notice reports the result. Some purchases appear only after award. Since February 2025, new procurements under the Procurement Act use Find a Tender for higher-value and relevant lower-value notices. Procurements begun under the earlier rules continue under those rules.

The report measures published contract values, not government payments. It can miss unpublished purchases and AI use that a notice does not describe. Values are not adjusted for inflation, and VAT treatment follows the source where specified. These figures therefore describe the public procurement record, rather than all government spending on AI.

10.1 Other published evidence

Table 9. What other sources measure
SourceEvidence provided
Tussell trackerAwarded contracts identified using capability, product and company terms, followed by AI-assisted classification and human oversight.
National Audit Office surveyGovernment bodies’ reported use of AI and plans for adoption, rather than contract values.
Algorithmic transparency registerDescriptions of algorithmic tools and their use. One tool may involve several contracts, while one contract may support several tools.

Tussell identifies awarded contracts using keywords for AI capabilities, products and companies, counts frameworks and misses a lot of contracts that don’t match the keywords. Its series starts in 2018. This report starts in 2022 and adds semantic retrieval to its text searches.

11 Verification, citation and reuse

1. Open the figure’s CSV table to see its categories and values. Every chart has a stable number and a downloadable PNG and SVG.

2. Request the full dataset with a work or education email. The email link opens the procurement CSV, buyer table, supplier assessments, source crosswalk and evidence pack.

3. Filter classification = core and value_included = true to reproduce the published-value population. Sum included_value_gbp. Do not sum the supplier table or repeat the procurement amount for each linked source notice.

4. Follow value_source_url for the amount and confirmation. Use source_notice_urls and the crosswalk for earlier versions. Look at value_basis, value_warning, the award date and commercial route before quoting a record.

5. Run the supplied reproduce.py against the CSV with Python 3.10 or later. It uses only the standard library and outputs exact integer-pence totals and the principal breakdowns. Compare these with metrics.json and the file hashes in the release manifest.

Cite as: White, S. (2026) Artificial intelligence in UK public procurement, 2022 to 2026. BidSkim Research, Procurement Data Series No. 1. Version 2026-09-15. Figure [number]. Available at: https://bidskim.com/research/ai-in-uk-public-procurement-2022-2026

Report text, original figures and dataset compilation are offered under Creative Commons Attribution 4.0. Original notices remain subject to their source terms. Attribution does not require endorsement. Send corrections to [email protected] with the procurement ID, source URL and proposed correction. Material changes receive a new version and correction note; the old figures should not be silently replaced.

12 Annex: classification lines

Each procurement is assigned a primary category describing the work being bought. The definitions below guide both the search and classification. Categories marked “adjacent” cover related work that does not meet the report’s AI definition and are excluded from the headline totals.

Table 10. Taxonomy and scope descriptions
CodePurchased categoryWhat the category covers
AI-A1Diagnostic imaging AIAI software for radiology and diagnostic imaging analysis such as chest X-ray, stroke CT, mammography, MSK, prostate MRI, fracture and lung nodule detection, and deep-learning image reconstruction
AI-A2Digital pathology & laboratory AIAI-assisted histology, cytology, genomic variant calling and laboratory image analysis; digital pathology where AI diagnosis or QC is a stated lot
AI-A3Ambient voice & clinical documentationAmbient voice technology and AI scribing that records clinical consultations and drafts notes, letters, referrals and dictation; speech recognition for clinicians
AI-A4Clinical triage, decision support & patient-facing toolsAI tools for clinical triage, decision support, symptom checking, dermatology and physiotherapy assessment, remote monitoring analytics, cancer-risk prediction and patient coaching
AI-A5NHS AI programmes, awards & evaluationNational NHS and DHSC AI programmes including the AI Health and Care Award, AI Lab, AI Deployment Platform and technology-specific evaluations
AI-A6Clinical operations, coding & workforce AIAI for clinical coding, hospital operations, theatre and bed scheduling, rota optimisation, discharge prediction, patient-flow forecasting and patient-feedback text analytics
AI-A7Radiotherapy & treatment-planning AIAI for radiotherapy auto-contouring, dose planning and treatment optimisation
AI-B1Chatbots & virtual assistantsAI chatbot or virtual assistant for citizen, customer, tenant or student enquiries on websites, apps and messaging channels
AI-B2Voice AI, contact centre & speech analyticsAI contact centre, voice bots, natural-language IVR and speech analytics for public sector customer service
AI-B3Digital front door & case automationAI-enabled digital front door, integrated intake, family hub, benefits or housing case automation
AI-C1Transcription, summarisation & meeting notesAI transcription, summarisation and note-taking tools for social workers, caseworkers, meetings, hearings and council chambers
AI-C2aIntelligent automation with MLIntelligent document processing, ML-based process mining, automation platforms where OCR, NLP or ML classification is a stated function
AI-C2bRules-based RPA (adjacent)Robotic process automation licences, bots and delivery partners with no stated ML component
AI-C3Records, search, knowledge & document AIAI for records management, document classification, OCR and extraction, tagging, translation, redaction, e-discovery, enterprise search, knowledge assistants and legal research
AI-C4Generative AI pilots, PoCs & experimentationGenerative AI pilot, proof of concept, sandbox, experimentation hub or innovation lab without a fixed product
AI-C5Education, assessment & tutoring AIAI tutoring, adaptive assessment, automarking, plagiarism and AI-writing detection and AI learning platforms for schools, colleges, universities and exam bodies
AI-D1Microsoft Copilot & M365 AI licencesMicrosoft 365 Copilot licences, early access programmes, rollout, adoption and use-case discovery
AI-D2LLM, SaaS AI tool & API licencesLicences or subscriptions for LLM APIs and off-the-shelf AI tools such as ChatGPT Enterprise, Azure OpenAI, Gemini, Claude, Synthesia, board and legal AI tools
AI-D3AI readiness, adoption & operating-model reviewsAI readiness assessment, adoption roadmap, governance and operating-model review or maturity assessment for one organisation
AI-E1Road & highway condition surveysAI and computer-vision road condition surveys, pavement assessment, pothole and defect detection from vehicle imagery
AI-E2Traffic, transport & rail visionAI traffic monitoring, passenger and pedestrian counting, incident detection, enforcement surveys, rail track and asset video analytics
AI-E3Environment, industrial & safety visionComputer vision for waste vehicles, weed detection, wildlife, environmental monitoring, agriculture, industrial inspection, drowning detection, maritime domain awareness
AI-E4Facial recognition, biometrics & policing visionFacial recognition, facial age estimation, CCTV analytics, fingerprint and video-search AI for police, prisons, borders and security; ANPR only when an AI or vision function is stated
AI-E5Autonomy, robotics & drones with AIAutonomous systems, robotics and uncrewed vehicles where AI perception or decision-making is the stated purchased capability; nuclear-site robotics and BVLOS drone programmes
AI-F1Predictive analytics & bespoke ML modelsPredictive analytics, machine-learning models, risk scoring, fraud detection, forecasting and optimisation built for a specific operational or policy problem
AI-F2ML engineering, datasets & MLOpsMachine-learning engineering, dataset development and labelling, ML pipelines, model registries and MLOps tooling
AI-F3Data & AI platforms and architectureEnterprise data and AI platforms, federated data platforms, AI architecture as a service; Palantir Foundry, Quantexa, Databricks or Snowflake when ML workloads are stated
AI-G1AI computing systems and accelerator hardwareExplicit AI computing purchases or directly linked facility work: computing. Facility and AI links require source evidence.
AI-G2AI cloud compute storage and hostingExplicit AI computing purchases or directly linked facility work: storage network. Facility and AI links require source evidence.
AI-G3AI data-centre construction and development servicesExplicit AI computing purchases or directly linked facility work: facility construction, design project management, land planning legal commercial. Facility and AI links require source evidence.
AI-G4AI infrastructure power cooling and heat recoveryExplicit AI computing purchases or directly linked facility work: power grid, cooling water, heat recovery. Facility and AI links require source evidence.
AI-G5AI infrastructure operation and programme supportExplicit AI computing purchases or directly linked facility work: facility operations, programme evaluation, mixed. Facility and AI links require source evidence.
AI-H1AI safety, assurance & evaluation researchResearch and technical services on AI safety, assurance, red teaming, explainability, model evaluation, standards and trustworthy AI
AI-H2Policy research, sector studies & surveysResearch reports, sector studies, adoption surveys, economic estimation, workforce-impact and impact assessments about AI
AI-H3Defence & security AI R&DDefence and national security AI research including autonomy, wargaming, human-machine teaming, sensing and imagery analysis; Dstl and DASA contracts
AI-H4Challenge competitions & innovation fundsChallenge-led AI competitions, catalyst funds, CivTech, innovation partnerships, SBRI, pre-commercial R&D procurement and research convening such as Turing data study groups
AI-I1AI strategy & consultancyAI strategy, business case and consultancy for a public body
AI-I2AI delivery, build & integration partnerAI technical, capability or implementation partner to design, build, integrate and run AI over a programme
AI-I3Discovery, alpha & use-case scopingDiscovery, alpha and use-case identification phases for AI
AI-J1AI apprenticeshipsApprenticeships on AI standards: ST0763 AI Data Specialist L7, Machine Learning Engineer L6, AI and Automation Practitioner L4
AI-J5Data-skills apprenticeships (adjacent)Data Analyst, Data Technician, Data Engineer, Data Scientist and Business Analyst apprenticeships with no stated AI content
AI-J2AI training, bootcamps & coursesAI awareness training, skills bootcamps, masterclasses, guidance materials about AI, and courses about AI
AI-J3AI specialist recruitment & contractorsRecruitment, interim and contractor roles for AI leadership or AI specialists
AI-J4Business AI-adoption programmesProgrammes helping local businesses adopt AI, run by councils, growth hubs, development banks and enterprise agencies
AI-K1AI governance, registers & ethicsAI governance frameworks, algorithm registers, ethics guidance and responsible AI checklists
AI-K2Security & assurance of AI systemsSecurity testing, cyber assurance and monitoring of AI systems and AI agents
AI-K3Legal services on AILegal advice on AI regulation, liability and procurement
AI-K4AI-driven threat detection (cyber)Cyber-security products whose stated function is machine-learning anomaly detection or AI threat intelligence
AI-L1AI frameworks, DPS & dynamic markets (parent notices)Framework agreements, dynamic purchasing systems and dynamic markets whose stated scope is AI
DC-CONTEXTGeneral data centres with AI use unestablishedData-centre purchases without established AI use; excluded from AI headline totals.

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Reuse. The report and dataset are published under a Creative Commons Attribution 4.0 licence. Cite as: White, S. (2026) Artificial intelligence in UK public procurement, 2022 to 2026. BidSkim Research, Procurement Data Series No. 1. Version 2026-09-15. Available at: https://bidskim.com/research/ai-in-uk-public-procurement-2022-2026. Questions about a row, a figure or the method: contact us quoting the procurement identifier.

Artificial intelligence in UK public procurement, 2022 to 2026: full report · BidSkim