Labour faced a significant parliamentary setback as the House of Lords voted in favour of amendments to the Data (Use and Access) Bill, aimed at strengthening copyright protections for creators against the misuse of their work by AI companies. This marks the party's first defeat since taking office, highlighting the ongoing tensions between technological advancement and intellectual property rights.
Key Takeaways
Labour suffered its first parliamentary defeat in government.
The House of Lords voted 145 to 126 in favour of tougher AI copyright reforms.
Baroness Kidron's amendments aim to protect creators from data theft by AI firms.
The reforms are backed by a coalition of creative industry organisations.
Background of the Vote
The vote took place on the evening of January 28, 2025, when peers in the House of Lords supported a series of amendments proposed by crossbench peer Baroness Kidron. These amendments were designed to ensure that the data-gathering tools employed by technology firms comply with UK copyright laws.
Baroness Kidron, representing the Creative Rights In AI Coalition, argued that the current proposals would allow AI companies to exploit creators' work without proper attribution or compensation. The coalition includes prominent organisations such as the Publishers Association, UK Music, and the Motion Picture Association.
The Implications of the Amendments
The amendments passed by the Lords are intended to:
Record Usage: Establish a system to document when, where, and how intellectual property is used by AI systems.
Enable Redress: Provide creators with the means to understand what has been taken from them, allowing for potential legal recourse.
Protect Rights: Safeguard the property rights of individuals and organisations against the encroachment of large tech firms.
Baroness Kidron expressed concern that the government’s current stance would undermine the creative sector, stating, "Hundreds of organisations and many individual rights holders are watching... to see what this House will do in the face of a Government proposal that will transfer their hard-earned property to another sector without compensation."

Reactions from the Creative Community
The amendments received notable support from high-profile figures in the music industry, including Sir Elton John and Paul McCartney. Sir Elton John warned that the proposed changes would allow AI companies to bypass traditional copyright laws, potentially leading to a situation where artists' works could be used to train AI systems without their consent.
Owen Meredith, head of the News Media Association, described the vote as a warning to the government against weakening the UK's copyright regime. He stated, "This vote is a clear message that the creative community will not stand by while their rights are eroded."
Conclusion
The Labour Party's defeat in the House of Lords underscores the growing divide between the rapid advancement of AI technologies and the need to protect intellectual property rights. As the debate continues, the outcome of this legislative battle will have lasting implications for creators and the tech industry alike. The government now faces pressure to reconsider its approach to copyright in the age of AI, balancing innovation with the rights of individuals and creators.