New powers to roll out digital IDs, plans to protect data centres from cyber-attacks and financial regulation reforms were among the government plans unveil on Wednesday during the King’s Speech.
It is a tumultuous time for Sir Keir Starmer’s Labour government off the back of heavy losses in the recent local elections and a brewing rebellion among MPs and ministers.
Today’s speech can therefore be seen as an attempt from the government to move on from the narrative of political drama and push through a number of major policy intentions.
There was plenty announced in the speech delivered by Charles III, with many having significant potential to impact the tech industry.
Here are the King’s Speech 2026 announcements that UK tech needs to know.
Digital ID
Digital identification technology has been a key ambition from the government, supported heavily by prominent think tanks, notably the Tony Blair Institute for Global Change.
Though there has been some backlash and concerns over privacy, the King’s Speech confirmed that digital ID plans are still firmly in place, with powers to roll out a voluntary digital ID scheme being included in the Digital Access to Services Bill.
The inclusion of digital IDs in the speech as well as the decision not to mandate them has been welcomed by figures calling for stronger ways to prevent fraud.
“The government was right to listen to concerns and drop [the mandate] part of its proposals. But in just focusing on this we risk losing sight of the real potential of Digital IDs,” said Kristaps Zips, UK chief executive of the fintech group payabl.
“The opportunities extend far wider than just the right-to-work, including combatting financial fraud.
“As this Bill progresses, it’s vital that the conversation includes these wider use cases and gives people the chance to understand how voluntary use of Digital IDs could make everyday experiences – like shopping online and verifying identity at the checkout – safer and more seamless.”
Cybersecurity
Plans to protect data centres with existing cybersecurity regulations were announced in the form of the Cyber Security and Resilience Bill.
Beyond just data centres, the government has stated its intention to shore up the security capabilities of British businesses and organisations by imposing hefty fines on those not meeting security breach reporting requirements.
Commenting on the announcement, Sheila Pancholi, partner and national technology risk assurance lead at the consulting group RSM UK described a “clear shift, as cyber incidents are now making a tangible impact on the bottom line for businesses”.
Pancholi said: “The proportion of companies reporting revenue or share value loss after a breach, while still low, have more than doubled year-on-year. At the same time, reports of reputational damage also climbed.
“This shift makes a compelling case for treating cyber as a measurable profit and loss exposure that sits alongside other major financial risks and therefore deserves the same structured risk appetite discussions.”
Financial services
A new Enhancing Financial Services Bill was announced with the aim of reducing the regulatory burden on the sector.
This could include faster authorisation decisions from regulators and a more proportionate approach to the approval of senior managers.
These reforms mirror suggestions advocated for by the fintech trade body Innovate Finance.
“The proposed legislation will give the regulator more powers to develop and flex its rule book,” said Innovate Finance chief executive Janine Hirt.
“This should help to enable the more agile regulatory approach we need as the speed of technology, innovation and international competitiveness accelerates. This also creates a need for greater accountability of the regulators.”
Other announcements
The need for energy independence and costs was highlighted as well, with plans to expedite nuclear energy sources and to introduce energy efficiency requirements on homes with targeted cost support for low-income households announced.
The Regulating for Growth Bill will support the rollout of pilot schemes to progress areas of innovation prioritised by the government, notably in sectors such as defence and AI.
The European Partnership Bill will fast-track plans to cooperate with the European Union on economic agreements in a clear sign that the government intends to work closely with its allies on the continent.
