UK Report Promotes New Regulatory Framework For Leadership in Quantum Era

Insider Brief

• The Department for Science, Innovation and Technology announced the release of an important report from the Regulatory Horizons Council
• The report lays out a strategic blueprint for fostering a pro-innovation regulatory environment.
• It also creates a comprehensive framework through 14 targeted recommendations.

The Department for Science, Innovation and Technology announced the release of an important report from the Regulatory Horizons Council. The report, “Regulating Quantum Technology Applications,” is an independent report that lays out a strategic blueprint for fostering a pro-innovation regulatory environment that not only retains domestic talent and investment but also attracts international developers and investors seeking regulatory clarity and a commitment to responsible product development.

Sir Peter Knight Chair of the National Quantum Technology Programme Strategic Advisory Board writes: “Regulation should be seen as an enabler, adding confidence to users and developers, removing hurdles to adoption, and especially knowing when action is needed and when a watching brief is sufficient. This report identifies a valuable framework to link regulatory frameworks, standards and Technology Readiness Levels. Responsible governance is essential to ensure ethical considerations come into play and provide the necessary assurance to users and the general public. I commend this to all those working to realise the potential of this remarkable technology.

The report offers a comprehensive framework through 14 targeted recommendations, organized into three pivotal themes: regulatory frameworks and governance, standards and international collaboration, and innovation funding and market development. This structured approach aims to create a robust ecosystem for quantum technology development that balances the need for innovation with the imperative of governance and oversight. See a summary of those recommendations below.

Central to the report’s vision is the development of application-specific regulatory frameworks. These frameworks are designed to be adaptable and proportional to the unique challenges and development stages of quantum innovations, ensuring that regulation fosters rather than impedes growth. A proposed Quantum Regulatory Forum would serve as a central hub for stakeholder dialogue, promoting collaboration across sectors and disciplines.

On the international stage, the report underscores the critical importance of standards and collaboration. Recommendations include enhancing the UK Quantum Standards Pilot Network and advocating for the UK’s strategic participation in global regulatory forums. These efforts aim to ensure interoperability and address security concerns, paving the way for the UK to lead in setting the agenda for global quantum technology regulation.

Innovation funding and market development also receive significant attention, with calls for establishing regulatory testbeds and leveraging procurement strategies to spur market demand for quantum technologies. Tailoring the funding environment to support quantum innovation is identified as a key driver for translating research into real-world applications, ultimately contributing to the UK’s competitive advantage in this cutting-edge field.

The report calls on various segments of the quantum ecosystem to help lead.

• Academia can lead in fostering quantum literacy, while instilling a culture of responsible innovation.
• Government can act as a facilitator through funding and pro-innovation policies, being an early adopter of new technologies to spur market confidence, and as a guardian of public interest.
• Innovators must pioneer new developments, pushing the boundaries of the technology while engaging with regulators to consider the most appropriate governance instruments (regulations, standards and/or best practice guidance) and engaging in responsible innovation.
• Regulators and standards bodies will play a critical role in ensuring that, as quantum technologies develop, they do so within an environment that protects consumers and the public interest without stifling innovation.

While the timing of quantum’s full fruition is up for considerable debate, the report recommends holding discussions and beginning to plan now, stating: “Quantum technologies are at various stages of development, and we agree with stakeholders that it is ‘too early’ to jump to legally based regulation given the nascency of many quantum technologies. It is, however, important to have regulatory discussions and to plan around quantum-related products and services. The lack of clarity around timings, scope and shape of expected regulation can impede investment and long-term planning for businesses challenging. This report proposes developing a pro-innovation regulatory framework aimed at nurturing a robust quantum ecosystem. The UK has a strong academic and vibrant startup community, the framework seeks not only to retain domestic talent and investment but also to attract international developers and investors looking for regulatory clarity and a commitment to responsible innovation practices. This approach also reduces the risk that the benefits of quantum technologies are realised outside the UK rather than within.”

Regulatory Frameworks and Governance:

Summarizing the recommendations:

• Recommendation 1: Development of application-specific regulatory frameworks that are adaptable and can respond to the unique characteristics and developmental stages of quantum technologies.
• Recommendation 2: Establishment of a Quantum Regulatory Forum to facilitate dialogue and cooperation among stakeholders.
• Recommendation 3: Use of foresight methods to anticipate future regulatory requirements and challenges.
• Recommendation 4: Provision of awareness training to ensure stakeholders are informed about quantum technologies and their implications.

Standards and International Collaboration:

• Recommendation 6: Enhancement of the UK Quantum Standards Pilot Network to develop and implement standards for quantum technologies.
• Recommendation 9: Advocacy for the UK’s strategic involvement in international quantum technology regulatory forums to ensure global harmonization.
• Recommendation 11: Focus on developing interoperability standards for quantum communications to facilitate global connectivity and usability.
• Recommendation 12: Addressing security concerns inherent to quantum communications to protect data and privacy.
• Recommendation 14: Advocating for a balanced approach in regulating quantum computing, emphasizing standards and responsible innovation to navigate the technology’s unique challenges.

Innovation Funding and Market Development:

• Recommendation 5: Establishment of testbeds and sandboxes that include regulatory components to test and refine quantum technologies in real-world scenarios.
• Recommendation 7: Use of procurement strategies to stimulate market demand for quantum technologies, creating opportunities for growth and development.
• Recommendation 8: Tailoring the translational funding environment to better support quantum technology innovation, ensuring that financial resources are aligned with the unique needs of quantum projects.
• Recommendation 10: Emphasis on the importance of regulatory policies and funding mechanisms that support the development and deployment of mature quantum applications.
• Recommendation 13: Ensuring that quantum technologies and their applications comply with existing legal frameworks, such as the Online Safety Act, to promote safe and responsible use.

Please see the report for complete details.