BT Business has announced a suite of sovereign services. The portfolio is intended for use across both public and private sector organisations and includes components such as sovereign connectivity, voice, cloud, and AI services. It is designed to support organisations in keeping sensitive workloads within UK jurisdiction while also enabling faster deployment of digital services.
According to a report by Assembly Research, concerns around data security and privacy are currently a barrier to wider AI adoption in the UK. The report suggests that strengthening digital sovereignty could help address some of these concerns and may contribute to increased productivity, with an estimated potential uplift of £18bn to the UK economy.
There are also estimated commercial implications associated with sovereign infrastructure. Investment in UK-based data centres is projected to be worth around £14.6bn by 2030. In addition, sovereign cloud services are forecast to represent a market opportunity of approximately £13.6bn over the next five years.
BT is working with companies including Nscale and NVIDIA on elements of this initiative, focusing on the development of AI systems designed to meet UK requirements around data residency, security, and regulation. The aim is to support organisations in running localised workloads and scaling AI applications across areas such as automation and customer service.
The Sovereign Cloud offering, developed in partnership with Rackspace Technology, is intended to support the management of sensitive and regulated workloads in the UK. It provides private cloud infrastructure services, including compute, storage, and backup, using UK-based systems and security-cleared personnel.
The Assembly Research report also notes potential risk reduction benefits linked to increased digital sovereignty. It estimates that improved control over digital systems and assets could reduce the impact of cyber incidents, with potential savings of around £632m per year for the economy. It also suggests that clearer domestic compliance frameworks could make it easier for organisations to meet UK data protection and sector-specific regulations, potentially reducing the likelihood of fines related to GDPR breaches, which are estimated at around £1bn.
