Artificial intelligence is emerging as a key driver of environmental reform in the UK, particularly in carbon-intensive industries such as steel and cement. This year’s £2 million Manchester Prize has shortlisted ten AI-led projects designed to cut emissions in these sectors, underscoring the growing importance of clean energy innovation.
Now in its second year, the prize rewards technologies that deliver economic benefits while advancing social equity. Among the finalists are AI tools that improve furnace efficiency in steelmaking and optimise process control in cement production—two of the most energy-demanding processes globally.
Funded by the Department for Science, Innovation and Technology and run by Challenge Works, part of the Nesta group, the Manchester Prize supports AI breakthroughs with the potential to transform public services and underpin a low-carbon economy. Finalists will receive funding and development support, with the overall winner to be announced later this year.
Peter Kyle, Secretary of State for Science, Innovation and Technology, said AI was offering “transformative new ways to tackle climate change” and help the UK meet its ambition of becoming a clean energy superpower. He stressed the need to reduce emissions from industries that contribute around 16% of global carbon output, while maintaining warm homes and resilient infrastructure.
Last year’s Manchester Prize winner, Polaron, received £1 million for its AI technology that dramatically accelerated the discovery of materials for wind turbines and electric vehicle batteries—cutting development time from years to days. The project showcased the impact AI can have on energy and infrastructure innovation.
Previous editions of the competition have drawn nearly 300 submissions tackling challenges in areas such as water management and energy efficiency, reflecting a wider push for responsible AI development in the UK.
As the country positions itself as a global leader in ethical and impactful AI, these shortlisted projects represent meaningful steps towards a sustainable future. Their success could set the tone for how advanced technologies are deployed to deliver environmental and economic progress.
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