Digital TransformationAI Business Strategy

AI adoption in the public sector: Are councils accelerating and leaving citizens behind?

By Ian Roberts, UK Managing Director of Granicus

A year on from the publication of ‘A Blueprint for Modern Digital Government’, the government has reinforced this direction through its ‘roadmap for modern digital government’. The roadmap sets out a clearer path from ambition to delivery, describing how technology will be used across the state to improve how government works for the citizens it serves. Acting as an action plan through to 2030, it highlights the role of shared platforms, improved use of data and AI, and stronger digital capability across the public sector. 

The next phase of digital government is already under way. Artificial intelligence is no longer a target in the future, it’s becoming an enabler of more responsive, datadriven public services. Yet as AI becomes more embedded behind the scenes, a critical question is emerging; is public understanding and confidence keeping pace with adoption? 

Bringing citizens on the digital transformation journey 

When it comes to designing digital services that citizens interact with and use on a daily basis, transparency, communication and collaboration are essential for developing a system that genuinely works and leads to greater outcomes for people. When it comes to artificial intelligence, our new research suggests there is a growing disconnect between what organisations are doing internally and what citizens see, understand and feel comfortable with.  

More than half of public sector workers (57%) say AI is already in use or being explored within their organisation. Yet this shift is not translating into public awareness. A significant 69% of citizens are not aware of any public services using AI, and nearly half (49%) say they are uncomfortable with its use. At a time where trust in government is in the balance, following many geopolitical factors and challenges over the past 12 months, we simply cannot risk leaving citizens behind in the AI transformation journey.  

At the same time, inclusion remains uneven. While digital services are improving, 29% of citizens also report difficulties accessing them in the past year, and concerns around reduced human involvement is growing, cited by 19% as a key risk. This not only shows the importance of human connection in shaping public services for citizens but also allowing councils to connect with people on a more personal level to delivery true outcomes.  

The issues between access and awareness all interlink. Deploying AI without visibility or explanation will not build public trust so transparency, accessibility and human oversight must evolve alongside adoption for this to be a success. AI success will be defined not just by organisations’ capability to deliver, but by whether citizens feel informed, included and confident in how these technologies are shaping services.  

Skills, not systems, will define the next phase of digital transformation 

As digital transformation matures, attention is shifting away from technology and towards people. This is why skills, capability and training are now the defining factors in delivering meaningful and sustainable digital change.  

Our research shows that public sector workers say the biggest barrier is not access to technology but the ability to use it effectively. A lack of training is cited by 42% as the primary constraint, and 39% identify AI literacy as their biggest skills gap.  

This challenge is not just internal. Citizens are clear on where improvements should be prioritised, with 27% highlighting staff training and customer experience as the most important areas for progress over the next two to three years.  

Public sector organisations need to move beyond one off training initiatives and build continuous, embedded skills development by rolling out online and in-person sessions with staff and citizens. Future success will depend on how well organisations equip their people to adapt, apply and evolve alongside rapid technological change. 

Technology adoption is accelerating, but capability and utilisation are falling behind 

Public sector organisations are clear on the technologies they need to deliver future services, but adoption alone is not translating into impact. There is a gap between technology investment, capability and real-world outcomes, and adoption is only part of the story. 

When asked which technologies are most critical to closing the gap to 2028, public sector workers highlight cybersecurity (34%), AI and machine learning (30%), and big data analytics (22%) as the key priorities. This points to a sector that understands both the opportunity and the risk of more data driven, automated services.   

However, progress is being held back by how these technologies are used. Nearly two thirds of workers (62%) say existing tools could be better utilised. This is reflected in skills demand, with AI literacy (39%), cybersecurity (27%) and data analysis (26%) emerging as the biggest gaps.  

The sector must shift from adopting new technologies to maximising the value of those already in place. Skills, interoperability and organisational alignment are key in unlocking that value, and without the right capability, even the most advanced technologies will fail to deliver meaningful change. 

AI is already reshaping how public services operate, and its role will only grow as government moves from ambition to delivery. But out research makes one thing clear. Technology alone will not determine the success of digital government over the next decade. 

Trust, transparency and inclusion must keep pace with adoption. Citizens need to understand when AI is being used, why it is being used, and be provided reassurance that human judgement remains central to decisions that affect their lives. Without that visibility, even wellintentioned innovation risks deepening scepticism rather than strengthening confidence. 

 

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