A CHINEHAM-based AI firm has partnered with a city council in the East Midlands for a £7m project to "transform public service and delivery."

ICS.AI, headquartered at Grove House, Chineham, signed a contract with Derby City Council to partner for a £7m AI project aimed at transforming public service delivery, on Friday, February 29.

The team of 25 staff in Basingstoke are working with the council to elevate its technological approach, by using emerging AI technology to help safeguard services for citizens.

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The four-year initiative will mark a significant advancement in applying ICS.AI's generative Artificial Intelligence technologies to enhance customer service operations across the council’s various departments.

Derby City Council previously adopted phone-based AI customer service during the pilot phase of this partnership, which was launched in 2023.

The adoption of AI assistants marked the city council as the UK’s first local authority to move beyond traditional interactive voice response systems.

Basingstoke Gazette: ICS.AI's Darcie in actionICS.AI's Darcie in action (Image: All Events PR)

ICS.AI-developed digital assistants, Darcie and Ali, serve as a "digital front door" to council services, the authority has already handled over half a million telephone and web queries with AI, resolving 43 per cent of enquiries without input from staff - double the initial target - freeing up their time to focus on more complex queries.

The project’s next phase will see an expansion of AI capabilities into adult social care, customer services, and debt recovery.

Paul Simpson, chief executive at Derby City Council, said: "The continued financial challenges in the local government sector mean we must consider how we can operate most efficiently, while continuing to deliver the best service possible.

"Derby City Council is a trailblazer in using AI technology. We believe it presents some incredible opportunities, and that used safely and ethically, can help to deliver the best outcomes for our citizens in a more efficient and cost-effective way."

The new contract is expected to generate Derby City Council £3.925m of savings during the 2024/25 financial year, rising to a minimum of £12.25m annually once fully delivered.

Basingstoke Gazette: Martin Neale, CEO of ICS.AIMartin Neale, CEO of ICS.AI (Image: All Events PR)

Martin Neale, CEO of ICS.AI said: "Our collaboration with Derby City Council is at the forefront of AI innovation in the public sector.

"The introduction of AI Copilots in various service areas demonstrates the breadth and adaptability of our SMART platform in transforming public services.

"It marks a significant step towards the future of more efficient and effective public services, but also underscores Derby’s commitment to the wellbeing of its residents.

"This journey is just the beginning, we are excited to see how these new AI Copilots will redefine service delivery and set new standards in public service innovation."

For more information visit, ics.ai.