As digital technologies continue to advance and public engagement with online services increases, the scope of digital transformation within the public sector must evolve accordingly. Meeting citizens’ growing digital expectations requires not only modernising underlying infrastructure and systems but also adopting user-centric design and prioritising service accessibility.
This means creating platforms that are intuitive, inclusive, and responsive to diverse needs, while ensuring robust security and data privacy. Successful transformation depends on integrating emerging technologies such as AI and automation to streamline processes and improve efficiency. Collaboration across departments and with external partners is essential to deliver seamless experiences, while continuous feedback helps refine services in line with changing expectations.
According to results from our new research , public sector workers reveal that AI and ML, big data analytics and cybersecurity will be crucial for improving digital services in the future. 25% also said digital literacy and leadership (27%) are major barriers, emphasising the need to upskill the workforce and clear direction from leadership to make digital aspirations for the future a reality.
Utilising current technology and vision for the future
When it comes to improving and enhancing the delivery of digital services for citizens, the need for a digital strategy and vision for the future is essential. However, almost half of respondents (46%) said they were lacking a clear and strategic vision for digital transformation. In turn, efforts to improve services have become fragmented and ineffective, preventing their organisation from providing the digital services that people expect by 2027.
While the implementation of new solutions and technology are a key part of digital transformation, making the most of current tools is critical for the public sector. Our research indicates that 58% of public sector respondents agreed they had been successful in integrating new technologies with existing systems. In contrast, over half of respondents (58%) said they have the correct digital tools in place, but they could be utilised more effectively for stronger outcomes. This shows there needs to be a greater drive for the wider public sector to optimise services and technology already available to increase ROI and enhance service continuity.
Leadership, collaboration and the importance of data analytics and AI
More than one in three (39%) public sector respondents said that data analytics and AI will be the most important for digital transformation over the next three years, but cultural and leadership challenges are slowing down adoption. The data also shows that both middle management (36%) and executive leadership (34%) are seen as key barriers. This perception is even stronger among those working directly in digital transformation, with 42% identifying middle management as a major obstacle to delivering the digital services needed for the future.
There also appears to be a mismatch in how strategy is communicated and implemented, particularly at a local level. Central government respondents view executive leadership as the main barrier, while local government points to middle management. This indicates that there is a lack of transparency and collaboration when it comes to sharing a clear, unified digital vision.
Communication and collaboration across the public sector are essential for not only understanding key trends but also identifying patterns in citizen behaviour as they change over time. With data analytics and sharing the fundamental driver to unlocking this, it’s positive that our research reveals just over half (56%) of public sector workers are effective at leveraging data and sharing best practice.
Despite the wider sector’s confidence in data capabilities, there is disparity across local and central government. This suggests that public sector workers are likely only scratching the surface—often working in siloes and missing opportunities to share data-driven insights across departments for broader impact. This is a common trend we’re seeing for local authority customers as they manage the demand to deliver a broad range of services across different structures and deal with requests on behalf of central government.
Bridging the digital literacy gap: upskilling the workforce
Having the necessary technology in place is not the only important factor for government departments and organisations, there is also a need to improve the digital and analytics skills of their teams. Improving digital skills within government will enable the delivery of high standard digital services that resonate with citizens.
It’s clear that digital transformation is not just about technology, it’s about people. Our research aligns with this perception as 30% of respondents said digital literacy will be a foundational barrier to change and a key skill to address. Training, development and upskilling the workforce are key solutions to addressing this need.
Given the current state of digital services in central government and reliance on non-digital processes, this is likely to continue, emphasising the need for wider education and upskilling of the workforce in this area. But with a unified vision from leadership and alignment on shared best practice across central government, local government and the NHS, the services and solutions of today will be the best they can be to increase uptake and engagement with everyday citizens.
