As DG Cities launches its independent analysis tool, the AI Index, Director of Innovation & Net Zero, Balazs Csuvar discusses why thinking of AI in terms of digitisation doesn’t account for the technology’s wider, transformative impact. Rather than seeing it as another system for IT to manage or a job to outsource, local authorities can harness its potential to deliver a step change in service delivery, while mindful of its ethical use and risks.
Artificial Intelligence (AI) is rapidly transforming government services. Central government agencies are moving forward with AI adoption, streamlining operations and improving service delivery. Local authorities, though more fragmented and resource-constrained, are also beginning to implement AI-driven solutions. According to recent County Spotlight and LGA reports, nine out of ten councils now use AI in some capacity.
However, much of the current experience of using AI and guidance for local authorities focuses on fitting it into existing systems. Many councils now use AI tools like Copilot and ChatGPT to enhance internal processes, often for tasks like document drafting. This form of digitisation is useful and may be encouraged, but it represents only a fraction of AI’s true potential.
Improving internal minute-taking is great, but it’s not what will move the needle in local authority productivity improvements. Instead, local authorities should consider AI as part of a broader step change in service delivery, prompting fundamental questions:
What have we always wanted to do but lacked the capability?
Can we move beyond basic services and deliver truly personalised interactions?
What current practices no longer make sense in tomorrow’s AI-driven world?
What have we always wanted to do but lacked the capability to achieve?
One of the true powers of early implementation of AI lies in structuring previously unstructured data. Councils hold a lot of insights about their area, businesses and residents, but the data is often unstructured, text based and not coordinated.
AI can offer tools to make sense of such datasets and bring them to life in the form of decision-making tools based on the know-your-customer principles. This more in-depth knowledge enables councils to proactively identify and resolve issues, improving efficiency and responsiveness. Examples include the review of historic social housing repair documentation, public consultations and complaint oversight.
Can we move beyond basic services and deliver truly personalised interactions?
AI also offers a paradigm shift in citizen engagement. AI works well both with speech and text, so has the potential to move between languages and translate. Councils can now communicate with individuals in their preferred language, using insights drawn from previous interactions to create personalised experiences.
We know that engaging with communities where English is not a first or preferred language of communication can be a major difficulty (for 8% of people in England, English is not the main language - 4.2million. 1 million residents don’t speak English well). Reaching such communities can be a real challenge, often resulting in poorer than expected health and employment outcomes.
By using AI-based translation services, communications can foster trust and ensure that local government is more approachable and relevant to all citizens.
What current practices no longer make sense in tomorrow’s AI-driven world?
Looking ahead, AI could enable councils to integrate with personal AI assistants that residents may increasingly rely on. From early learning to elderly care, these digital aides could provide tailored support, reducing strain on local services while enhancing people’s wellbeing. Building proprietary apps and tools might become unnecessary as people shift their knowledge consumption to holistic platforms.
It can also help councils rethink the traditional way of collecting data. Over the last decades, the main source of data collection has been surveys (either filled out online, paper based, or at the door). Multiple choice survey questions are done in such a way because it makes the data easy to analyse in Excel.
Now that we can use AI to summarise and categorise long-form text data, we could gather more nuanced, richer insights and communicate with our residents in completely different ways. Making sense of a resident’s voice note is now easy and might actually be more entertaining for people. In a healthcare setting, patients could describe how they feel rather than go through impersonal checklists.
Organisational management
What does this mean for council staff? Rather than simply cutting jobs, AI presents an opportunity to reimagine roles, allowing employees to focus on high-value tasks that require human judgment and empathy. Councils could automate routine communications, facilitate remote system operations, and even streamline the planning of cultural events.
The key to effective AI adoption in local government is starting small and moving quickly. Councils can experiment with AI-driven communication, citizen engagement, and service automation. By rethinking not just how they operate, but what they aim to achieve, local authorities can ensure AI serves as a transformative force rather than just another cost-cutting tool.
But the holistic nature of the change also suggests that “AI” is not something for, say, the IT team or a specific person to “do”. It is an opportunity space for the whole council leadership to consider as an aspect of all emerging strategies, by asking the three questions we have outlined above.
DG Cities’ AI Index
In order to do the questioning, people need to understand in a bit more detail what AI is. It is not a static software, it is a collection of computational techniques, all with their pros and cons, ready to be used in the right circumstances.
Going with a football analogy, if we consider AI to be a football player, it doesn’t actually help us determine where on the pitch they’ll play. On the pitch, physical characteristics, years of experience and training determine if someone is a better striker or goalkeeper. AI is somewhat similar: there are techniques for specific scenarios, ones that underpin all future AI-based products and services that will be available for local authorities.
DG Cities has put together a free and independent AI Readiness Ranking to help councils understand how the techniques rank against one another, and their key strengths and weaknesses. The explanations provide a detailed overview of how these techniques work and their specific applications for local authorities. They are tailored for decision-makers responsible for strategy and procurement in the coming year.
We have created this tool as an accessible and essential resource to help guide our council colleagues - now it’s over to you. Get in touch to let us know your views and experiences of AI, and to find out how we help local authorities navigate the complexities of emerging technologies in a way that benefits their residents and council teams.