The UK and Canada have agreed a new technology partnership to modernise public services, accelerate responsible AI adoption, and strengthen collaboration in semiconductors and digital infrastructure.
Announced at the G7 Industry, Technology and Digital Ministers’ Meeting in Montréal on 12 December, the deal sets out plans for both countries to share digital tools and cloud frameworks used to deliver efficient, secure public services. It also commits to closer cooperation on research in high-performance computing and the ethical use of data in artificial intelligence.
The partnership will establish a UK-Canada Semiconductor Research Network, supported by £1.16 million in UK funding through the Engineering and Physical Sciences Research Council. The programme will link leading universities and industry specialists to develop smarter, faster, and more energy-efficient chip designs. A parallel agreement between the UK’s National Supercomputing Centre in Edinburgh and Canada’s Digital Research Alliance will strengthen cooperation in advanced computing that underpins AI and scientific innovation.
UK Technology Minister Ian Murray said the collaboration would bring direct benefits to citizens and businesses. “The UK and Canada are working hand in hand to shape the future of technology — from smarter, greener chips to AI that improves everyday services. By sharing expertise and driving progress together, we’ll create new jobs and cut costs for hardworking people by bringing our public services into the modern age.”
Canadian and UK officials also reaffirmed their commitment to the G7 SME AI Adoption Blueprint, a shared initiative designed to help smaller businesses integrate AI responsibly, address data fragmentation, and strengthen governance standards.
Stuart Harvey, chief executive of Datactics, said the success of such initiatives depends on the quality of data underpinning them. “Data, AI and digital infrastructure don’t stop at borders, so international collaboration and trade deals are vital for countries to align on standards and best practices as they accelerate innovation,” he said. “But these ambitions will only deliver if the data behind them is clean, standardised and trustworthy.”
Richard Bovey, chief for data at AND Digital, added that the conversation around AI had shifted significantly. “AI isn’t just a technology upgrade — it’s a capability that depends on well-governed data,” he said. “Without trusted, well-managed data, even the most advanced AI models will fail to deliver meaningful outcomes.”
Canadian investment into the UK reached an estimated £30 billion in 2023, supporting more than 165,000 jobs. Officials said the new partnership builds on those economic links, supporting shared growth in technology sectors and aligning both nations’ approaches to digital standards and innovation.
The agreement forms part of a wider G7 effort to modernise legacy technology systems, strengthen supply chains for critical technologies, and expand responsible AI adoption across public services.
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