Artificial intelligence is already embedded in the day‑to‑day work of Canada’s public servants. The question is no longer whether AI will influence the public sector, but whether governments will shape that influence deliberately—or allow it to evolve without the safeguards, trust, and accountability Canadians expect.

KPMG’s perspective is clear: the greatest risk facing public sector AI today is not moving too fast, but moving without intention. Informal adoption, fragmented pilots, and unclear governance create more exposure than a well‑designed, responsibly scaled AI program ever will.

Public sector leaders—deputy ministers, CIOs, and senior municipal executives—have a narrow window to act. By establishing clear AI governance now, investing in data foundations and workforce capability, and making sovereignty and trust non‑negotiable design principles, governments can unlock productivity gains while strengthening public confidence. This is not a technology transformation alone. It is an institutional one.

Those that move decisively will:

Regain control over how AI is used across their organizationsReduce privacy, security, and reputational riskEnable employees to use AI confidently and responsiblyDeliver faster, more consistent, and more citizen‑centric services

Those that delay risk falling into a permanent state of reactive governance—responding to incidents rather than shaping outcomes.

KPMG believes responsible AI can and should become a defining strength of Canada’s public sector. With the right choices today, governments can move from pilots to platforms, from anxiety to confidence, and from experimentation to trusted impact—for the benefit of Canadians.

The time to lead is now.