DWP explores AI options for new £50m-plus Jobs and Careers service


With deadlines for delivery approaching next year, a minister at the department has revealed that it is determined to ‘leverage the right technology to deliver improved outcomes’ via new service

Government is considering the use of artificial intelligence technology in supporting a new multimillion-pound Jobs and Careers service being delivered by the Department for Work and Pensions.

The new unified offering will bring together will merge the current National Careers Service run by the Department for Education with the benefits and support provided via the DWP’s network of 646 Jobcentres, as well as online tools such as the GOV.UK Find a job service.

This latter tool is currently delivered via an £18m contract with job-search specialist Azuna that ends in June of next year. The DfE’s outsourced support deals for the National Careers Service, meanwhile, are due to conclude at the end of September 2026.

This summer, the DWP awarded a £170,000 engagement to Deloitte to “deliver an initial proof-of-concept Jobs and Careers prototype to production, including the proof-of-concepts surrounding the development, deployment, and hosting of a mobile-friendly responsive web application” for the new unified skills and employment offering.

As work on developing the service continues, Labour MP Ben Coleman recently asked the DWP whether it plans “to use AI-powered job-matching tools developed by the private sector” as part of the new system.

In response, employment minister Dame Diana Johnson said: “The Department for Work and Pensions is committed to reforming the Jobs and Careers Service to better support jobseekers and employers. The department continues to monitor market innovations and will leverage the right technology, including AI, to deliver improved outcomes for citizens. Use of AI would be subject to rigorous assessment, procurement in line with government regulations, and alignment with the department’s responsible AI framework.”


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In answer to further enquiries from Coleman – and with the contract for the delivery of the Find a job service due to end in little more than six months’ time – Johnson said that the DWP “is working to ensure the new Jobs and Careers Service is delivered on schedule [and] continues to engage with stakeholders and will communicate changes in a timely manner”.

But the minister did not provide a definitive answer when asked for details of the estimated cost of delivering the new service, stating that “the Jobs and Careers Service programme is still being designed, [and] when the business case has HM Treasury approval, an executive summary will be published in line with current practice”.

But government transparency documents released in September revealed that the DWP had been allocated £55m to spend during the 2025/26 year on creating the new unified service. Some £20m of this was “allocated to progress digital activity which will underpin the Jobs and Careers Service, including developing and testing prototypes for the new digital service”, the document said.

Alongside this tech spending, £15m was provided “to undertake a series of tests and trials” – including a ‘pathfinder’ pilot exercise being run in the city of Wakefield, which aims to provide local jobseekers with a more personalised service.

The next largest chunk of funding – £13m – “has been allocated to cover resources to enable delivery, [including] coaching and training for staff, branding development, activity to engage employers as well as staffing”, the DWP revealed. Finally, some £5m was committed “to explore alternative delivery solutions”, while £2m of funding is included as a “contingency applied to all programme activity”.

Sam Trendall

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