n June 9, 2025, Prime Minister Sir Keir Starmer launched a transformative £187 million TechFirst programme to equip pupils across the UK with the AI and digital skills needed for the tech-powered jobs of the future.
At the heart of the government’s modern Industrial Strategy and Plan for Change, this initiative aims to break down barriers to opportunity, drive economic growth, and invest in young people from all backgrounds, regardless of where they grow up.
Key Highlights:
TechYouth (£24M): Over three years, 1 million secondary school students across every UK school will gain access to tech skills training and career opportunities. An online platform, building on the success of CyberFirst’s Explorers (with 100,000 registered students), will provide streamlined access to learning tools and inspire students about tech careers.
TechGrad (£96.8M): 1,000 annual undergraduate scholarships, 100 MSc places, and 100 elite AI scholarships to support exceptional students in AI, cybersecurity, and computer science.
TechExpert (£48.4M): Up to £10,000 in funding for 500 PhD students to accelerate cutting-edge tech research and strengthen the UK’s innovation pipeline.
TechLocal (£18M): Seed funding for regional innovators and small businesses to develop AI-driven products, with local tech panels and Innovate UK overseeing allocations.
Industry Partnership: Major tech firms, including NVIDIA, Google, Microsoft, IBM, and others, will train 7.5 million UK workers—20% of the workforce—in essential AI skills by 2030, offering free, high-quality training materials to boost productivity across sectors like healthcare, finance, and manufacturing.
Why It Matters:
The UK’s AI sector, valued at £72.3 billion and projected to surpass £800 billion by 2035, is growing 30 times faster than the broader economy, employing over 64,000 people across 3,700+ companies.
However, a TechNation report reveals that one in three UK tech founders cites talent shortages as their biggest growth barrier, particularly for startups, scaleups, and regions outside London.
Research from the Department for Science, Innovation and Technology (DSIT) projects that by 2035, 10 million workers will use AI in their roles, with 3.9 million in AI-specific jobs.
TechFirst addresses this skills gap by embedding digital and AI learning in classrooms and communities, managed regionally by DSIT-selected local delivery partners.
This initiative not only fuels economic growth but also delivers on the government’s manifesto commitment to create high-quality training and employment paths, empowering local communities and placing employers at the core of the skills system.
I“We are putting the power of AI into the hands of the next generation – so they can shape the future, not be shaped by it. This programme is the Plan for Change in action – breaking down barriers, driving innovation, and giving every young person the chance of a good, well-paid job and a bright future.” - Prime Minister Keir Starmer.
Industry Backing:
Tech giants like NVIDIA, Google, Microsoft, IBM, BAE Systems, and others have endorsed the programme, with NVIDIA expanding its AI lab in Bristol and signing agreements to bolster UK research and talent.
“Artificial Intelligence represents a generational opportunity, already transforming the way we live, work, and innovate. For the UK to remain globally competitive, we have to equip people with the skills they need to be successful in an AI-powered economy. Microsoft is proud to be playing its part, by training one million people with AI skills this year, and by supporting millions more through this new initiative.” - Darren Hardman CEO of Microsoft UK.
Science, Innovation and Technology Secretary Peter Kyle said, “These partnerships with industry will translate skills into real jobs and economic growth, putting more money in people’s pockets and ensuring tech talent flourishes in every corner of our nation.”
Looking Ahead:Building on the success of CyberFirst, which has trained hundreds of thousands in cybersecurity, TechFirst aligns with Skills England
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