As AI accelerates, cities are evolving beyond "smart" into something far more transformative: autonomous, self-learning urban systems. This article explores urgent questions—who programs the algorithms, who holds power, and how AI might shape or replace public governance. The AI-driven city isn't a distant vision; it's a present challenge. What kind of future are we building—and who gets to decide?

The June 2025 Spending Review outlines key digital and infrastructure priorities, including £1.9bn for gigabit broadband rollout, £500m to boost public sector productivity, and investment in AI, digital health, and skills. While direct local funding is limited, the review signals strong national backing for digital transformation. Councils should align strategies to seize future funding and innovation opportunities.

At Connected North 2025, I moderated a panel on how councils are using AI—not in theory, but in practice. Councils are no longer waiting on the sidelines; AI is delivering real results today. From chatbots to automated triage in social care, local authorities are building affordable, effective tools in-house. But AI is only as good as the data—and data needs infrastructure. That’s why digital connectivity is now essential for public sector innovation.