UK Government AI Copyright Consultation Threatens 126bn Creative Industry

The UK government’s consultation on copyright law modifications has come under severe criticism from prominent industry figures, with accusations of being prejudiced towards AI companies at the expense of the creative sector.

Lady Beeban Kidron, an acclaimed film director and crossbench peer, has launched a scathing critique of the consultation process, labelling it as “fixed” and potentially devastating for Britain’s £126 billion creative industries. The consultation’s preferred scenario, which would relax copyright restrictions for AI developers, has raised significant concerns about the future of intellectual property rights.

The government’s proposed changes include a controversial “opt-out” system for creative professionals, allowing AI companies to train their algorithms on copyrighted works unless explicitly forbidden. This approach has been met with substantial resistance from industry stakeholders who argue it undermines the UK’s historically robust copyright framework.

The economic implications are particularly concerning, as the proposed changes could trigger what Lady Kidron describes as a “wholesale transfer of wealth” from the UK’s creative sector to predominantly American and Chinese tech companies. With 2.4 million British creative professionals potentially affected, the stakes are extraordinarily high.

Recent amendments to the data bill, passed in the Lords, attempt to establish stronger protections by requiring AI companies to comply with UK copyright law regardless of their location and mandating transparency in their use of copyrighted materials. However, these amendments face potential removal in the Commons.

Technology Secretary Peter Kyle has acknowledged the complexities of the situation, emphasising the need for “technical solutions” to balance innovation with creative rights protection. The government maintains that no decisions will be finalised until a practical plan addressing all stakeholders’ concerns is developed.