The Department for Science, Innovation and Technology (DSIT) is about for a major funding improve in 2026-27, with new spending plans highlighting the government’s continued concentrate on digital transformation, AI functionality and technology-led public service reform.
According to DSIT’s Main Estimate Memorandum for 2026-27, the division’s useful resource price range will improve by £242.3 million and its capital price range by £722.9 million in contrast with the 2025-26 Supplementary Estimate.
The funding settlement displays DSIT’s twin function as each the division answerable for rising the UK’s science and know-how economic system and the government physique main digital transformation throughout the general public sector.
Funding enhance for government digital companies
Among essentially the most important modifications is extra funding for the Government Digital Service (GDS), which obtained a £117.2 million improve via the 2025 Spending Review settlement.
The memorandum states that the funding will assist the government’s wider digital transformation agenda, together with supply of the Digital Blueprint for Government and the operation of frequent digital platforms used throughout the general public sector.
The extra funding comes as GDS takes on a extra distinguished function in driving cross-government transformation, with ministers more and more centered on the use of shared platforms, frequent requirements and digital companies to enhance effectivity and cut back duplication throughout departments.
If you preferred this content material…
The division additionally highlighted spending linked to machinery-of-government modifications and the Matrix shared companies programme, which is meant to consolidate company companies and streamline operations throughout government.
Connectivity funding continues
The spending plans additionally embody a £161 million improve in capital funding for Building Digital UK (BDUK), reflecting continued funding in broadband infrastructure programmes.
The funding will assist ongoing efforts to broaden gigabit-capable broadband protection and enhance digital connectivity throughout the nation, notably in harder-to-reach areas the place business deployment stays difficult.
Supporting technology-driven progress
Beyond public sector transformation, the memorandum reinforces the government’s dedication to utilizing science and know-how as drivers of financial progress.
DSIT’s aims embody supporting analysis and innovation, growing strategically essential applied sciences and strengthening the UK’s place in sectors akin to AI, quantum applied sciences and superior digital infrastructure.
The division argues that funding in these areas will assist enhance productiveness, appeal to non-public sector funding and assist the government’s broader progress ambitions.