UK Tech Industry Warns Burnham Against Having DSIT Scrapped in Reshuffle

In Focus

• UK tech leaders warn against plans to have DSIT scrapped under incoming PM Andy Burnham
• Startup Coalition and senior AI advisor Matt Clifford call the reported move a “mistake”
• DSIT’s tech remit may shift into a larger Department for Business and Trade

Should Britain dismantle its technology department just as the sector gears up for its next growth phase? That question is rattling UK tech circles this week. Reports emerged over the weekend that incoming Prime Minister Andy Burnham is weighing plans to break up the Department for Science, Innovation and Technology, according to a report by UKTN.

Why Does The UK Tech Industry Oppose Scrapping DSIT?

Reports emerged over the weekend that incoming Prime Minister Andy Burnham is weighing plans to have DSIT scrapped. The department’s remit could fold into a larger Department for Business and Trade. Jonathan Reynolds would lead that expanded department. Dom Hallas, head of the Startup Coalition, called the move a mistake. He stated, “Changes to DSIT (which I’ve been getting calls about) would be a mistake.” Hallas warned that a bigger department would force British tech to compete with British steel for attention. He said the reorganization would waste months at a time when speed matters most for UK innovation policy.

What Happens to DSIT Under Burnham’s Reshuffle?

Matt Clifford, a senior AI advisor to the government, echoed these concerns. He said, “This would be a big mistake.” Clifford argued that tech is now both an economic and a national security priority. Tying up senior officials in a reorg wastes time the sector cannot spare, he said. Cleo founder Barney Hussey-Yeo added that DSIT plays a central role in turning research strength into commercial success. He pointed to DeepMind as proof of what focused UK science and technology policy can produce, a point that echoes ongoing debate over global AI regulation standards. Industry body techUK separately warned the change would slow momentum at a critical moment.

DSIT was formed in 2023 under then Prime Minister Rishi Sunak. It oversees the UK’s tech policy, research funding, and support for the tech industry, according to a report by UKTN. Burnham is set to become prime minister this week. Cabinet decisions are expected shortly after. Industry figures say any move to have DSIT scrapped so soon after its formation risks stalling momentum. They see the sector as central to the UK’s economic growth plans, a concern also raised in past coverage of EU and UK AI regulation.

What This Means for The UK’s Tech Governance Path

The reported plan to restructure Andy Burnham DSIT policy has drawn swift pushback from founders, investors, and advisors. They see the department as central to the UK’s tech ambitions. Whether the reorganization proceeds or is shelved, the response shows how closely the industry will scrutinize the incoming government’s early moves on science and technology governance.