Local government and artificial intelligence: the benefits and the challenges

Photo by Jackson So on Unsplash

By James Carson

Artificial intelligence (AI) has come a long way since computer pioneer Alan Turing first considered the notion of ‘thinking machines’ in the 1950s. More than half a century later, advances such as natural language processing and translation, and facial recognition have taken AI out of the computer lab and onto our smartphones. Meanwhile, faster computers and large datasets have enabled machine learning, where a computer imitates the way that humans learn.

AI has already had important impacts on how we live and work: in healthcare, it’s helping to enhance diagnosis of disease; in financial services AI is being deployed to spot trends that can’t be easily picked up by conventional reporting methods; and in education, AI can provide learning, testing and feedback, with benefits both to students and teachers. And now, intelligent automation is being adopted by local government.

AI goes local

A decade of austerity has left local councils struggling to ‘do more with less’. The Covid-19 pandemic has presented additional challenges, but has also accelerated efforts by local government to find digital solutions.

AI offers local authorities the benefits of streamlining routine tasks and processes, freeing up staff to focus on higher value activities which deliver better services and outcomes to citizens. Intelligent automation could also have important economic impacts. IPPR has estimated that AI could save councils up to £6bn in social care costs.

When it comes to system and data updating, intelligent automation really comes into its own. From managing council tax payments to issuing parking permits, there are now digital solutions to the many task-driven processes that are such a major part of local government’s work.

Many local councils are also exploring the application of chatbots or virtual assistants. These technologies enable customer services to provide automated, human-like answers to frequently asked questions on subjects as varied as waste management, street lighting and anti-social behaviour. The time and cost savings from this kind of digital solution can be substantial. Newham Council in London deployed a multilingual chatbot to answer residents’ questions. Within six months, the technology had answered 10,000 questions, saved 84 hours of call time and generated cost savings of £40,000.

The challenges of AI in local government: getting it right

Earlier this year, a report from the Oxford Commission on AI and Good Governance identified the major challenges facing local authorities when considering AI.

Inaccurate or incomplete data can delay or derail an AI project, so it’s vital that data quality issues are addressed early on. The report highlighted a project where one local authority explored how predictive analytics might be used to help prioritize inspections of houses in multiple occupation (HMOs). Predictive analytics involves the use of historic data to predict new instances. But in this case the challenges of cleaning, processing and merging the data proved too intractable to produce successful predictions.

Another important step for local authorities is to clearly define the objectives of an AI project, providing a clear vision of the outcomes, while managing expectations among all affected stakeholders – especially senior managers. The report points to a successful project implemented by Manchester City Council which developed an integrated database that allowed them to automate record searches and build predictive tools. The project had a clearly stated aim of identifying troubled families to participate in the government’s payment-by-results programme. This approach gave the project a specific focus and an easily measurable assessment of success.

It’s also important for local councils and technology suppliers to work together, ensuring that suppliers are aware of local contexts, existing data and processes. At the same time, making full use of in-house expertise can help AI technologies work better in a local government setting. The Oxford Commission report explains that after the disappointing results from the previously mentioned HMOs project, in-house data scientists working in one of the participating local authorities developed their own solution.

Sometimes, councils will discover that AI is a good fit in some parts of their work, but doesn’t work in others. In 2019, Oxford City Council explored whether chatbots could help solve design problems in some of their services. The council found that, while waste and recycling enquiries could be easily handled by a chatbot, the complex nature of the planning service would have made it difficult to remove humans from the conversations taking place in this setting. That said, another council has found it possible to develop a chatbot for its planning applications.

At the same time, digitalisation is compelling councils to adjust to new ways of working, something discussed in a Local Government Association presentation by Aylesbury Vale District Council.

The future of AI in local government

Since we last looked at this subject, local government involvement in AI has increased. But there are still important governance and ethical arrangements to consider so that AI technologies in public services can achieve benefits that citizens can trust.

The Oxford Commission report set out a number of recommendations, including:

  • minimum mandatory data standards and dedicated resources for the maintenance of data quality;
  • minimum mandatory guidance for problem definition and project progress monitoring;
  • dedicated resources to ensure that local authorities can be intelligent consumers and capable developers of AI;
  • a platform to compile all relevant information about information technology projects in local authorities.

Final thoughts

Three years ago, MJ magazine described AI as a ‘game-changer’ for local government. The potential benefits are clear. AI can generate labour and cost savings, but also offers the promise of reducing carbon footprints and optimizing energy usage. But while residents may welcome greater efficiency in their local councils, many will have concerns about data privacy, digital inclusion and trust in the use of public data.

At its best, artificial intelligence will complement the services provided by local authorities, while ensuring that the all-important element of human intelligence remains at the heart of local government.


Further reading: more on digital from The Knowledge Exchange blog

Digital – making the case for investment within local government

By Steven McGinty

In March, a report by Nesta and the Public Service Transformation Network suggested that local councils could save £14.7 billion by going ‘digital by default’ by 2020, i.e. moving all transactional services online and digitising back office functions.

However, this is not the first report to highlight the potential savings in going digital. In 2015, the Policy Exchange think tank published a report outlining how £10 billion could also be saved by councils by 2020, if they made smarter use of data and technology. Similarly, the Local Government Association (LGA) has published guidance on the benefits of digital technologies for councils, including financial savings.

All these documents make the positive case for digital. Yet, as discussed in a previous blog article, local government is still lagging behind when it comes to implementing new technologies. Jos Creese, Chief Information Officer (CIO) at Hampshire County Council and Chair of the Local CIO Council, explains that:

It’s doubtful if any local authority is not making savings from digital investment. The challenge is being able to quantify savings.”

This suggests that if local government is ever going to achieve its ambition of becoming ‘’digital by default’, then attempts must be made to evaluate projects, to develop a strong evidence base, and to share examples of best practice. Below I’ve highlighted some projects which provide a strong case for investment.

Manchester City Council

In 2012, Manchester City Council decided to create a more responsive ‘mobile first’ website that citizens could access from free Wi-Fi spots around the city via smartphones and tablets. The website was developed by an integrated team comprising IT and marketing staff from Manchester City Council, and developers from the supplier. From the beginning, the team reviewed how people interacted with the council, such as how they asked for services and how they reported problems. The website was tested by members of the public, as well as accessibility experts and representatives from organisations representing blind and partially sighted people.

This website redesign has led to Manchester City Council saving £500,000 in the first nine months and winning a European award for website design and functionality.

Nottingham City Council

Nottingham City Council has introduced a workflow management app, replacing an inefficient paper-based system. The new app allows staff from customer services, highway inspectors and response teams to enter faults, such as potholes or damaged street lights, directly into the system. It then automatically allocates the fault to the relevant inspector and, once the work is completed, digitally signs it off. Residents are also kept informed via updates, as the progress of the work is linked to the initial order raised.

The council has reported that the app has created £100,000 in savings in less than one year. In addition, the improved monitoring of productivity has led to 40% field efficiency savings and 60% back office savings in the Highways department.

London Borough of Camden

In 2013, the London Borough of Camden introduced a programme to create a single source of residents’ data. The Camden Residents Index (CRI) used a technological solution to match different types of data with individual residents (allowing the council to have a single point of view for each resident’s data).

The CRI has been used for a number of purposes, including detecting fraud and managing the electoral roll. For instance, the index was able to identify 752 council properties that could have been illegally sublet. The council estimated that a quarter of these properties were reclaimed, saving approximately £18,000 per property and £3.4 million in total. The CRI was also able to validate 80% of data from the electoral roll (which is higher than the 50% rate of the Department for Work and Pensions, which usually validates the council’s electoral data). This increased match rate resulted in less manual checking, which saved Camden council £25,000.

Poole County Council

Poole Borough Council has recently moved towards using cloud-based services. They highlighted three main drivers for this change: complying with the Cabinet Office’s Cloud First Directive; improving the agility of services; and making the necessary savings to the information and communications technologies (ICT) budget. The move has already saved the council £60,000; with an additional £750,000 worth of savings possible over the next three years.

Conclusion

Local council leaders may be anxious about making the case for investment, but investing in digital should be considered as a necessity, rather than a luxury, for meeting growing citizen demands with fewer resources.

These are just a few, of the many examples, of how local councils have benefited from digital transformation.


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Further reading: if you liked this blog post, you might also want to read our other posts on digital