Cash-strapped council uses AI to determine if pensioners should go into care

Impact of AI on jobs is a 'concern' |

GB NEWS

Isabelle Parkin

By Isabelle Parkin


Published: 25/08/2025

- 10:50

Updated: 25/08/2025

- 10:53

The council hopes to save £6 million through reduced care costs with the help of AI

A cash-strapped council is using artificial intelligence to help it decide if pensioners should go into care.

Derby City Council has created an algorithm to help make recommendations to staff on the care it should offer to residents.


A council worker is then tasked with assessing what it has suggested and making a decision.

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As well as helping to determine if pensioners should go into care, the AI recommendations are set to include decisions on supported living applications, placements and blue badges for disabled drivers, according to The Telegraph.

Derby City Council said it has so far saved £7.5 million through using the AI programme across its services.

However, campaigners have expressed concern about the use of the technology to understand pensioners' needs.

Dennis Reed, director of over 60s campaign group Silver Voices, told The Telegraph: "We are running before we can walk with AI, and older and vulnerable people are being used as a test bed with no safeguards in place.

"A bot assessing care needs – whatever next?”

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Campaigners have expressed concern about the use of the technology to understand pensioners' needs

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The council - which is run by a Labour minority administration - has faced years of pressure on its finances and is currently dealing with an overspend just shy of £4 million.

The authority hopes to save £6 million through reduced care costs with the help of AI.

Its adult social care services were found to "require improvements" upon its most recent inspection by the Care Quality Commission.

Last year, the council signed a £7million with tech company ICS.AI, implementing a range of tech tools.

Derby City Council is using artificial intelligence to help it decide if pensioners should go into care

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This includes the use of digital assistants on its website, with "Darcie" helping with customer service and "Ali" being used for housing enquiries.

Earlier this year, the council said its digital assistants had handled more than 1.8 million "routine enquiries" since their launch in 2023, resolving 44 per cent of enquiries without staff help.

Councillor Hardyal Dhindsa previously said: "We want to use technology to make a positive difference, and our goal is to make things as easy and user-friendly as possible for residents."


"Derby is at the forefront of this technology and, given the lack of precedents, we don’t expect perfection right away," he added.

"It’s important that we take the time to learn and refine our approach."

From December 2023 to August this year, the council has spent more than £1,937,428 on goods and services from ICS.AI.

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