Why the hidden costs of AI pose a risk to the public sector

The adoption of artificial intelligence in the public sector is generating costs that are becoming increasingly difficult to monitor, due to AI features integrated into software, pay-as-you-go models and purchases made independently by individual departments. This lack of visibility is not only a financial issue, but also one of governance, accountability and regulatory compliance, particularly in view of the forthcoming entry into force of the obligations set out in the AI Act. Evidence shows that many organisations still lack a comprehensive inventory of the AI tools they use, as well as an adequate governance framework. To address this issue, experts recommend conducting a full inventory of all AI solutions, centralising their monitoring, tracking expenditure separately and incorporating specific contractual clauses into procurement processes, thereby ensuring transparency, control and the sustainable adoption of artificial intelligence within the public sector.

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