London Daily

Focus on the big picture.
Thursday, Oct 22, 2026

Digital welfare state: big tech allowed to target and surveil the poor, UN warns

Digital welfare state: big tech allowed to target and surveil the poor, UN warns

UN's rapporteur on extreme poverty says in devastating account big tech companies are being allowed to go unregulated in 'human rights free-zones'
Nations around the world are “stumbling zombie-like into a digital welfare dystopia” in which artificial intelligence and other technologies are used to target, surveil and punish the poorest people, the United Nation’s monitor on poverty has warned.

Philip Alston, UN rapporteur on extreme poverty, has produced a devastating account of how new digital technologies are revolutionizing the interaction between governments and the most vulnerable in society. In what he calls the rise of the “digital welfare state”, billions of dollars of public money is now being invested in automated systems that are radically changing the nature of social protection.

Alston’s report on the human rights implications of the shift will be presented to the UN general assembly on Friday. It says that AI has the potential to improve dramatically the lives of disadvantaged communities, but warns that such hope is being lost amid the constant drive for cost cutting and “efficiency”.

Big Tech companies are being allowed to go unregulated in “human rights free-zones”, welfare budgets are being decimated and new penalties are being imposed for non-compliance on people who may be digitally illiterate or lack access to the internet. In the UK, he notes, 12 million people, or one in five of the population, do not have essential digital skills needed for modern day-to-day life.

Alston writes that “crucial decisions to go digital have been taken by government ministers without consultation, or even by departmental officials without any significant policy discussions taking place”. As a result of the absence of accountability, “digital technologies are employed in the welfare state to surveil, target, harass and punish beneficiaries, especially the poorest and most vulnerable among them”.

A New York-based lawyer, Alston has become a piercing critic of inequality and disdain for basic human rights. In June 2018 he caused major ructions with the Trump administration by reporting that it was cruelly forcing millions of people into deprivation with its tax cuts for the rich. He went on to anger the British government with his damning report on austerity in the UK.

Now he is likely to displease several governments who will find his report uncomfortable reading. He says that the normal state of affairs whereby governments are accountable to their citizens has been turned upside down by the introduction of automated decision-making and the removal of human discretion from welfare systems.

“In such a world, citizens become ever more visible to their governments, but not the other way around.”

Alston’s report also tears a strip out of Big Tech companies who he says are acting as forces unto themselves. The advent of the digital revolution has allowed the private sector to appropriate huge swathes of welfare state almost without public comment.

He points to examples from around the globe: Net 1’s subsidiary Cash Paymaster Services together with MasterCard were initially involved in South Africa’s social grant distribution system which raised privacy concerns because of its biometric data collection. In Australia, Indue and Visa helped introduce cashless debit card trials, and IBM was central to the multi-million dollar SAMS system in Canada, the US, Germany and New Zealand.

In many of these schemes, the role and responsibility of these corporations are opaque, rendering public accountability impossible. “A handful of powerful executives are replacing governments and legislators in determining the directions in which societies will move and the values and assumptions which will drive those developments,” Alston writes.

Looking to the future, the UN monitor calls for Silicon Valley to be made accountable through regulation. The self-regulation that has been permitted in the Big Tech sector, uniquely so among major sectors of the economy, must end and technology companies must “legally be required to respect applicable human rights standards”.

That includes addressing the increasing use of data matching that is used to punish and criminalize low-income people. It also involves bringing under control the “evermore refined surveillance options that enable around-the-clock monitoring of beneficiaries”.

The UN report was drawn from Alston’s country visits to the UK, US and elsewhere as well as 60 submissions from 34 countries. He concludes on a rallying note, saying it is not too late to drop the obsession with fraud and the “undeserving poor”.

Instead of inflicting misery on millions, digital technology could be used as a force for good. It could “ensure a higher standard of living for the vulnerable and disadvantaged, devise new ways of caring for those left behind. That would be the real digital welfare state revolution.”
Newsletter

Related Articles

0:00
0:00
Close
Department for Science, Innovation and Technology Commits Fifty Million Pounds to Establish Regional Artificial Intelligence Innovation Clusters
Ofgem Directs Major Energy Suppliers to Expand Vulnerable Household Support Funds Ahead of Winter Heating Season
Home Office and National Police Chiefs Council Unveil New Intelligence-Led Strategy to Tackle Organised Immigration Crime Networks
First Minister John Swinney Secures Scottish Parliament Approval for Comprehensive Climate and Green Energy Infrastructure Strategy
National Health Service England and Trades Union Congress Finalize Agreement on Emergency Winter Staffing and Pay Frameworks
HM Treasury and Department for Business and Trade Announce Multi-Billion-Pound Sovereign Investment Pact to Spur Regional Advanced Manufacturing
Bank of England Governor Andrew Bailey Signals Potential for Faster Interest Rate Cuts as Domestic Inflation Pressures Ease Below Forecasts
Parliamentary Inquiry Highlights Urgent Need to Address Housing Shortage as Scottish Completions Hit Eleven-Year Low
United Kingdom and Singapore Sign Comprehensive Financial Agreement to Deepen Digital and Sustainable Market Ties
Greggs Announces Plan to Close Four Manufacturing Facilities and Cut Seven Hundred and Forty Jobs
International Monetary Fund Raises United Kingdom Economic Growth Forecast While Warning of Inflationary Pressures
Energy Security and Net Zero Committee Urges Government to Shift Policy Costs Onto Gas to Lower Household Bills
Housebuilding Across Scotland Plummets to Eleven-Year Low Despite Government Pledges to Tackle National Housing Emergency
Greggs Announces Factory Closures Across Northern England and Scotland Affecting Seven Hundred Forty Jobs
United Kingdom and Singapore Conclude Eleventh Financial Dialogue in Singapore to Deepen Cooperation on Digital Finance and Capital Markets
Energy Security and Net Zero Committee Urges Government to Shift Policy Costs to Gas Bills and Tap Windfall Profits to Lower Consumer Prices
British Broadcasting Corporation Announces Major Cost-Cutting Overhaul to Close Linear Broadcast Services for Television Channels BBC Three and BBC Scotland Alongside Digital Radio Station BBC Radio Four Extra
London Capital Markets Face Renewed Scrutiny After High-Profile Offerings Underperform Post-Listing
Green Party Wins Historic First Westminster Parliamentary By-Election in Gorton and Denton
Environment Secretary Emma Reynolds Unveils Sweeping Regulatory Overhaul for English Water Industry
United Kingdom Health Security Agency Confirms Thirty-Four Cases in Kent Meningitis Outbreak
Ministry of Defence Prepares Heat Pump Subsidy Cuts to Fund Urgent Military Modernization
British and European Union Officials Schedule Long-Awaited Bilateral Leaders Summit for November Twentieth
Bank of England Governor Andrew Bailey Urges Strict Fiscal Credibility to Protect British Bond Markets
United Kingdom Inflation Rises to Three Point One Percent Driven by Escalating Fuel Costs
Profit Warnings Among London-Listed Companies Reach Two-Year High Amid Global Energy Shocks
Chancellor John Healey Signals Targeted Tax Changes on Banks and London Corporate Offices Ahead of Budget
British Government Reallocates Twenty-Five Per Cent of International Climate Finance to Global Biodiversity Projects
Initial British Carbon Border Taxes Set to Undercut Parallel European Union Tariffs on Industrial Imports
Whitehall Prepares National Zero-Interest Loan Initiative to Accelerate Domestic Heat Pump and Solar Adoption
European Union Offers British Automakers Access to Hybrid Vehicle Trade Protections Subject to Strict Regulatory Alignment
British Probation Officers Threaten Widespread Industrial Action After Rejecting Five Per Cent Government Pay Offer
Microsoft Abandons Major British Artificial Intelligence Data Centre Citing Severe National Grid Power Constraints
United Kingdom Inflation Accelerates to Three Point Four Per Cent Ahead of Chancellor John Healey's Inaugural Autumn Budget
Surging Cloned Number Plates Severely Complicate Traffic Enforcement and Police Investigations
Mounting Opposition Challenges Planned Rollout of Autonomous Taxis Across London
Influential Think Tank Urges Rejoining European Union to Navigate Geopolitical Crises
Government Review Recommends Slashing Benefits to Fund Youth Employment Initiatives
Senior Minister Shabana Mahmood Seeks New Law Enforcement Pact With European Union
Airbus Executive Warns Britain Risks Losing Crucial Role in European Space Industry
Exorbitant Electricity Costs Push British Steelmakers to Worst Competitive Position in Three Years
British Food and Beverage Exports to European Union Collapse by Over a Third Since Brexit
Up to Twenty English Maternity Units Face Impending Closure Due to Safety and Staffing Crises
Government Declares Severe Drought Across Southern England Following Record Dry Spell
Corporate Profit Warnings Reach Two-Year High Amid Middle East Conflict and Rising Costs
International Monetary Fund Warns Chancellor John Healey Against Proposed Bank Tax Raid
Northern Ireland Secures Favorable Agricultural Export Agreement with European Union
Scottish Government Approves Major Offshore Floating Wind Farm Near Aberdeenshire
High Speed Two Rail Project Faces Three Billion Pound Cost Escalation on Initial Phase
National Health Service Warns of Winter Capacity Crisis Across English Hospitals
×