The writer is an honorary professor at UCL and former CEO of Digital Catapult 

There has been much excitement at the UK government’s plan to invest in artificial intelligence. The country’s reputation as a global research and talent developer is proof of the immense contributions made by our leading universities. However, recent economic and social changes have put the business model of universities in crisis. This threatens their ability to maintain the country’s reputation for developing AI pioneers such as Alex Kendall of Wayve and Sir Demis Hassabis of Google DeepMind.

Funding PhDs is a cornerstone of our track record. Unfortunately, PhD students with UK Research and Innovation funding in the UK fell under the previous government from 6,835 in 2018-19 to 4,900 in 2022-23, according to Times Higher Education.