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Thursday 15 January 2026 10:22 am  |  Updated:  Friday 16 January 2026 6:23 am

Sadiq Khan: AI could bring ‘mass unemployment’ to London

By: Mauricio Alencar and Saskia Koopman

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London Mayor Sadiq Khan
Sadiq Khan has hit out at "anti-growth" plan against pubs. PA

Sadiq Khan has warned that AI could become a “weapon of mass destruction” for jobs across London unless the government takes proactive action to ease its impact on work.

The London Mayor said AI’s impact on the capital city will be “nothing short of colossal” over the coming years. 

In a Mansion House speech to be delivered on Thursday evening, Khan is expected to argue that London is particularly exposed to AI because of its heavy reliance on white-collar jobs in finance, professional services and the creative industries, with entry-level roles likely to be hit first.

He is also set to say that leaders have a “moral” duty to ensure AI helps workers but he added that the technology could be used to improve public services and improve productivity. 

“We need to work with businesses and unions to encourage a responsible and thriving AI industry, here in London, so that London can continue to punch above its weight and compete with the likes of Beijing and Silicon Valley,” Khan will tell key figures. 

“Used responsibly, AI could enable us to transform our public services, turbocharge productivity and tackle some of our most complex challenges – from cancer care to the climate crisis. 

“But used recklessly, it could usher in a new era of mass unemployment, accelerated inequality and an unprecedented concentration of wealth and power.”

Khan’s stark AI warning

Khan will announce a new taskforce on AI and the future of work, alongside free AI training for Londoners, arguing that roles risk disappearing faster than new ones are created. 

Read more

London workers most exposed to AI jobs cull

London skyline with modern skyscrapers and lush green foliage in foreground on a clear day, highlighting urban nature balance

A report on AI and the labour market to be written by the new taskforce will be released in the summer. 

Research to be presented at a speech on Thursday will reveal that over half of London workers expect AI to change their jobs over the next year. 

His comments come as economists have scratched their heads over the impacts of AI on the labour market. 

The UK unemployment rate has steadily risen to 5.1 per cent but analysts have widely blamed higher taxes, regulation and falling inactivity rates for the the decline in the jobs market . 

Few commentators have linked the rise in unemployment to AI while the Labour government has doubled down on efforts to upgrade government systems with new software incorporating tools. 

Khan’s statement is among the boldest made of any leader speaking on AI’s potential to transform the jobs market. 

His solution focuses on training and upskilling workers, though they may be less radical than others suggested by other public figures.

The EU, for example, has pushed for more regulation on AI while the US and the UK have taken a less heavy-handed approach on controlling its expansion. 

Read more

Sadiq Khan lobbies Burnham to appoint Miliband as Chancellor 

Sadiq Khan addressing media at a press conference in formal attire, discussing recent developments in London policies

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