Tens of thousands of people across the North East are set to benefit from new skills training, education programmes and career opportunities as investment unlocked by the region’s AI Growth Zone begins to take effect.
Announced at the second meeting of the North East AI Growth Zone Taskforce, the latest package demonstrates how large‑scale investment in artificial intelligence is translating into real benefits for communities, helping residents access good jobs while supporting local economic growth.
A key element of the programme is a £750,000 investment from the North East Mayor into the government’s TechFirst programme, aimed at strengthening digital and AI skills from an early age.
The funding will support:
- 30,000 primary school children to gain early exposure to AI and digital technologies
- Interactive “discovery days” to introduce pupils to emerging technologies
- Partnerships with local businesses to showcase career pathways and real‑world applications of AI
The initiative is designed to ensure that young people growing up alongside rapidly evolving technology have the skills and confidence to thrive in a digital economy.
The new funding builds on an earlier £1.5 million investment from the government into the North East as part of a UK‑wide ambition to help one million young people benefit directly from the growth of AI.
For the first time, a formal regional target has been agreed, with 80,000 students in the North East set to benefit from AI‑related training by 2029. This marks a significant step towards ensuring that regional economies are fully included in the UK’s technology growth agenda.
Alongside student programmes, the initiative will also invest in the workforce that supports learning.
Plans include supporting 1,000 teachers to confidently teach AI and digital skills, and delivering 150 local work placements, giving young people hands‑on experience in real workplaces.
These measures aim to strengthen education delivery while providing clear pathways into employment, encouraging young people to build careers within the North East rather than leaving the region.
Technology Secretary Liz Kendall highlighted that the AI Growth Zone is about more than innovation — it is about ensuring the benefits of growth are shared across communities.
She pointed to:
- Stronger partnerships between public and private sectors
- New opportunities for local people
- A shared commitment to inclusive growth
The approach aims to ensure AI investment leads to long‑term economic development, rather than being concentrated in a small number of locations.
At the same time, North East Mayor Kim McGuinness has launched a consultation on the AI Growth Zone Prospectus, setting out a long‑term vision for the region.
The prospectus outlines plans to:
- Create high‑quality, well‑paid jobs
- Support local talent and skills development
- Help businesses adopt AI technologies
- Ensure innovation benefits all communities across the region
The consultation will inform how the Growth Zone evolves, ensuring it reflects local needs and priorities.
The AI Growth Zone has already attracted significant investment, including a £10 billion commitment from QTS/Blackstone to build a major data centre in the region.
The project has the potential to support up to 5,000 high‑quality jobs, strengthening the North East’s position as a hub for digital infrastructure and advanced technology.
As part of wider activity, the team behind Sovereign AI – a £500 million national initiative supporting UK AI start‑ups – is hosting an event in Newcastle. The event will bring together emerging AI companies to:
- Share growth plans and ambitions
- Connect with investors and policymakers
- Accelerate innovation within the region
The aim is to ensure local entrepreneurs play a central role in shaping the UK’s AI future.
Efforts are also under way to improve diversity and inclusion within the AI sector.
Leading software company Sage is supporting new initiatives to expand opportunities for women in technology, including:
- A partnership with Empowering You to develop leadership programmes for women in AI
- Workshops, coaching and practical training opportunities
- A hackathon with Techbible, designed to help women build AI tools with no coding experience required
These initiatives aim to ensure that opportunities in the AI sector are accessible to a broader range of people.
Kim McGuinness, Mayor of the North East, commented:
“The North East is the one to watch when it comes to cutting-edge tech and AI as we work to make sure everyone benefits from our AI growth zone.
“We’re already working closely with local employers, training providers and schools to make the North East the best place to live, work and thrive when it comes to tech.
“But we know we need to go further to make sure local people really benefit from more opportunities than ever before. That’s why we’re investing in training so our young people can make the most of the exciting opportunities around AI and working with some of the region’s brightest companies to support more women and girls in the tech sector.”

The North East AI Growth Zone represents a new approach to economic development, combining:
- Education and skills investment
- Industry partnerships
- Innovation and research support
- Inclusive growth strategies
By linking these elements together, leaders aim to create a sustainable model that delivers both economic and social benefits. With significant funding already secured and ambitious targets in place, the programme is expected to play a central role in shaping the North East’s future economy.
Image credit: iStock
