The UK government is facing mounting criticism from leading figures in the creative industries over proposed reforms to copyright law that aim to support artificial intelligence (AI) development.
Following a recent public consultation on “Copyright and Artificial Intelligence,” the government outlined its preferred approach: allowing AI developers to use copyrighted materials for training datasets under a text and data mining (TDM) exception—unless rights holders explicitly opt out.
The opt-out proposal, aimed at striking a balance between fostering AI innovation and protecting copyright, has triggered a fierce response. More than 400 high-profile artists, including Elton John, Paul McCartney, and Dua Lipa, have signed an open letter to Prime Minister Keir Starmer urging a full reconsideration of the reforms.
Creative Sector Warns of Economic and Legal Consequences
Critics argue the opt-out system places an unreasonable burden on rights holders to monitor and safeguard their work. Industry bodies warn that such reforms threaten the integrity of the UK’s creative sector, which contributes over £120 billion annually to the economy.
Baroness Beeban Kidron has tabled an amendment to the Data (Use and Access) Bill, which would require AI companies to disclose the copyrighted works used in training datasets. While this amendment was defeated in the House of Commons, a vote in the House of Lords is scheduled for Monday.
Legal experts have also raised concerns that the proposed reforms may violate the UK’s international obligations under the Berne Convention, which mandates strong protections for authors’ rights. Critics argue that the opt-out model risks undermining the fundamental principle of exclusive rights to creative works.
Tech Firms Push Back on Transparency Demands
Major AI companies including Google and OpenAI have voiced opposition to both the opt-out mechanism and any requirement to disclose training datasets. Google argues that opting out should not imply entitlement to compensation, while OpenAI has lobbied for broader copyright exemptions to promote innovation.
Industry stakeholders claim that mandatory transparency could stifle AI development and compromise proprietary information.
Policy at a Crossroads
The UK’s approach to reconciling AI innovation with intellectual property law remains in flux. The government has not yet issued a formal response to the consultation but is expected to do so later in 2025. The outcome of the House of Lords vote, and further policy deliberations, could significantly shape the future of copyright protection in the era of generative AI.
As tensions between creative and technology sectors escalate, the UK’s IP framework faces a critical test in balancing cultural protection with technological progress.
What This Means for You
For legal professionals, these reforms will demand close attention, particularly for those advising clients in the technology, publishing, or creative sectors. IP lawyers may need to reassess how licensing, enforcement, and risk assessments are handled if the opt-out model becomes law. Advising clients on how to effectively opt out—and how to enforce that opt-out—will become a new area of concern.
For businesses and content creators, the proposed changes could impact how intellectual property is protected, monetised, and defended. If your organisation produces original written, visual, or musical content, you’ll need to monitor whether your material is being used for AI training—and if so, consider your legal and operational response. The burden of opting out may require new compliance workflows, contractual clauses, or digital rights management strategies.
For tech developers, particularly those working with AI, the proposed reforms may lower legal barriers for training models—but introduce new obligations around transparency and ethical use. The evolving legal framework could also impact your partnerships, funding models, and access to data.
For policy watchers and investors, the UK’s position on AI and copyright may signal broader regulatory trends. As the EU, US, and UK move toward formalising AI governance, IP will remain at the centre of global debates about innovation, fairness, and ownership.
At Lawble, we’ll continue to track these developments and provide practical insights to help you stay informed, compliant, and commercially competitive in this fast-changing legal landscape.
Author
Gill Laing is a qualified Legal Researcher & Analyst with niche specialisms in Law, Tax, Human Resources, Immigration & Employment Law.
Gill is a Multiple Business Owner and the Managing Director of Prof Services - a Marketing Agency for the Professional Services Sector.
