Ken Mulvany, co-founder and CEO of BenevolentAI, has urged the UK government to eliminate stamp duty on share trading, simplify the country’s planning regulations, and reduce electricity costs to foster growth in the artificial intelligence (AI) sector. Mulvany, a leading figure in the British AI industry, argued that these measures are essential for enabling the UK to capitalize on its scientific strengths and financial infrastructure amid growing global competition.

Speaking in an opinion piece published recently, Mulvany highlighted that the UK’s current 0.5 percent tax on purchasing shares in domestic companies places British firms at a disadvantage compared to foreign equities, which often do not carry such levies. He contended that removing the tax would encourage greater investment in home-grown technology and AI companies by improving the financial incentives for large investors to hold significant stakes in these ventures.

Mulvany, 58, emphasized that while the UK does not have access to investment resources on the scale of the United States or China, its robust universities, established financial markets, and scientific expertise position it well to benefit from AI technology as it becomes more affordable. However, he cautioned that escalating energy prices could undermine the competitiveness of British businesses. According to Mulvany, the UK faces some of the highest industrial electricity costs among developed countries, and its power grid infrastructure is ill-equipped to handle the rising demand driven by new AI applications.

In addition to concerns around energy expenses, Mulvany pointed to the country’s slow and cumbersome planning system as a significant obstacle, particularly for expanding data center capacity—critical infrastructure for AI development. He noted that the rapid obsolescence of data center equipment, which can become outdated within three years, is incompatible with planning approval processes that can take just as long or longer. “A planning process that takes three years is therefore not a delay but a veto,” he said, advocating for policies that presume favorability toward data center projects to support the sector’s growth.

Mulvany’s firm, founded in 2013, has been at the forefront of using AI to accelerate pharmaceutical research by analyzing large amounts of clinical data. BenevolentAI has collaborated with AstraZeneca and contributed to identifying Baricitinib, a drug for rheumatoid arthritis, as a potential COVID-19 treatment in 2020.

He also warned that, without increased domestic investment, the UK risks losing promising AI startups and their founders to the United States, where venture funding is more readily available. “The next generation of AI companies may need few people, but they will still need money to grow,” Mulvany said. He stressed that it is crucial for Britain to retain its innovative businesses rather than see them relocate to hubs like Boston or San Francisco after initial scientific success.