The Quantum Landscape in 2024: A Year of Progress and DRCF Reflections

4 December 2024

The Quantum Landscape in 2024 – A Year of Progress and DRCF Reflections 

“Quantum technologies have the potential to enable breakthroughs in how people can process, transmit and secure information, thereby opening new frontiers in innovation across the economy.” 

It’s been just over a year since the DRCF Horizon Scanning and Emerging Technology (HSET) team, bringing together representatives from the CMA, FCA, ICO and Ofcom, published its Quantum Technologies Insight Paper with this forward-looking statement. The publication brought together leading voices across industry, academia, and regulatory bodies, to better understand the potential impact of quantum technologies and the regulatory approaches required to manage this new frontier of innovation. 

The Insight paper was the starting point for meaningful conversations between DRCF regulators and the quantum ecosystem on the regulatory implications of a quantum-enabled future. The paper focused on key areas of regulatory significance: the impact of quantum computing on information security, the transition to quantum-secure systems, the role of DRCF regulators in fostering responsible innovation, and the importance of standards to support this rapidly evolving field.  

In the year since, technological advancements and renewed Government commitments have helped to foster a more nuanced and mature discourse around quantum technologies. In November 2023, the UK Government announced its five quantum missions aimed at establishing the UK as a global leader in quantum technologies. To complement these missions, in 2024 the Government launched five quantum hubs to accelerate research and drive innovation in quantum sensing, communications, and computing. The new National Quantum Computing Centre facility, intended to house 12 quantum computers, was also officially opened. Beyond this, the Department for Science, Innovation and Technology (DSIT) has recently outlined the approach the UK will take towards regulating quantum technologies in its response to the Regulatory Horizons Council’s recommendations on this topic. The response highlights that the UK will take a proportionate and phased approach towards quantum regulation, focusing on increasing capabilities and introducing governance structures now to enable a sector-specific regulation at the application level in the future. 

As we reflect on these developments, the DRCF continues to engage on the potential for evolving regulatory needs. Our individual and collective approach to regulation, innovation, and growth seeks to enable emerging technologies to evolve and develop responsibly. While many issues associated with quantum technologies will fall outside the scope of our roles, we will work with others where our remits may intersect or interact. Our focus remains on ensuring that we keep pace with quantum advancements, encourage responsible innovation and ensure that society benefits from quantum and other emerging technologies. 

In this article, we explore key updates in quantum technologies and discuss what they mean for DRCF member regulators as we prepare for the International Year of Quantum in 2025

Key developments and what they mean for DRCF member regulators: 

  1. Advancing quantum technology: Progress and DRCF’s ongoing engagement

Researchers and businesses continue to develop quantum computing and communications technologies, making inroads into some of the technical barriers to wider deployment. For example, since we first published the Insights paper, UK quantum communications researchers have demonstrated that quantum key distribution is possible between longer distances, using existing subsea fibre cable to share information between the UK and Ireland. Distance limitations are one of the technical barriers to further development of quantum communications networks.1 

In the field of quantum computing, hardware,2 software,3 and error mitigation and correction4 continue to improve. Each is needed in order to achieve a more advanced, scalable quantum computer for a wide range of applications.  

There has not been such an acceleration in quantum technologies as to entail that the DRCF member regulators should change their collective approach to horizon scanning and engagement with the UK’s quantum ecosystem. Nonetheless, the progress achieved over the last year suggests the era of fault-tolerance and quantum advantage may be closer than previously thought.  

DRCF member regulators are committed to building our understanding of the technology and applications as they develop through ongoing dialogue with industry, the Government, and academia, as well as to continuing to develop and share our regulatory perspective. 

  1. Securing the future: Progress in post quantum cryptography and DRCF active participation

Without appropriate mitigations, it is anticipated future quantum computers could have a significant impact on the security of communications and personal and financial information. This security risk, and its mitigation through the transition to quantum secure systems, are key near-term issues for several DRCF member regulators who have information and data security-related responsibilities. 

Since we highlighted this consideration in our Insights Paper, there have been promising developments in the transition to quantum secure systems. In August 2024, the US National Institute for Standards and technology (NIST), released three long-anticipated post quantum cryptography (PQC) standards. These algorithms are designed to address the risk that future quantum computers pose to the public key cryptography widely used across information systems. The product of decades of global research and development, the release of these standards is an important milestone in ensuring the future security, privacy, and integrity of digital information. Elsewhere, the European Commission has called for European nations to develop a roadmap towards the transition to quantum secure systems. 

Domestically, the National Cyber Security Centre (NCSC) has updated its guidance on PQC and has provided further detail on the transition in their recent blog. The DRCF continues to work with the NCSC to support its ongoing initiatives and ensure a joined-up approach to the transition.  

The NCSC has outlined that the transition to PQC is likely to be a long road for some organisations. It stresses that the actions and investment required by different sectors and types of organisations will vary, as will the challenges they face.5 

Given the scale and potential challenges of the transition, the NCSC recommends that large organisations start preparing for the transition now. Their preparation could include initial discovery work to establish a clear view of their data, systems, and the cryptography deployed.6  

  1. Fostering responsible innovation in quantum technologies: Industry progress and the DRCF’s role

In January 2024, the UK’s National Quantum Computing Centre (NQCC), techUK and UKQuantum—the representative of the UK’s quantum industry—launched the Responsible Quantum Industry Forum (RQIF). This industry initiative aims to encourage responsible innovation in quantum technologies.  

The Forum has convened the UK’s quantum industry to develop a set of responsible innovation principles to help guide the future regulation of quantum technologies. The RQIF launched these principles in November, with the next phase of this initiative focused on supporting UK quantum startups to integrate these principles into their core values and operational processes.  

Alongside this industry-led initiative the NQCC has also published its quantum STATES principles for responsible and ethical quantum computing. The DRCF welcomes the emphasis on issues such as transparency and explainability in quantum computing. We also welcome the focus on mitigating harms to people, ensuring the impacts on vulnerable communities are considered, and the emphasis on promoting best practice in data governance and information security. These issues are relevant to DRCF member regulators, and in particular, our aim to ensure emerging technologies develop in ways that protect consumers and their information rights. 

The DRCF is supportive of initiatives that encourage responsible innovation in quantum technologies, particularly as the technologies and supporting ecosystems mature. 

  1. Emerging standards to complement regulation: UK leadership and  opportunities for future DRCF collaboration

As the quantum landscape evolves, DRCF member regulators recognise the important role that international standards will play in complementing regulatory frameworks and driving innovation in quantum technologies.  

The Quantum Standards Network Pilot, launched by the National Physical Laboratory (NPL), seeks to inform, and engage UK stakeholders in the development of quantum standards. This initiative is designed to ensure the UK remains at the forefront of quantum technology advancements by shaping the standards that will govern the sector in the future​. The initiative leverages partners such as the NQCC, BSI, DSIT, NCSC, and UKQuantum to encourage broad engagement across industry, government, and national standards bodies, fostering collaboration and alignment to address the sector's evolving challenges. 

In addition, UK organisations have taken proactive steps to shape both domestic and global standards relating to quantum technologies. For example, the BSI is acting as secretariat in ISO/IEC JTC-3, a joint technical committee tasked with developing international quantum standards. Through its participation, the BSI is contributing to global efforts to establish frameworks for quantum computing, communications, sensing, and metrology.  

Given that quantum standards are still in the early stages of development, DRCF member regulators have, to date, adopted an observer role. We recognise that as the standards landscape evolves, there may be opportunities to collaborate more closely and coordinate contributions to ongoing initiatives. This approach aligns with our broader mission to promote responsible innovation while protecting public interests. 

DRCF activity since the paper: 

Our early, forward-looking work to explore quantum technologies and themes of cross-regulatory interest have enabled DRCF member regulators to influence the future regulatory landscape, learn from each other and, for some, provided an opportunity to further build on the insights. Since publishing the paper: 

  1. We have inputted into early discussions with the Government about regulating quantum technologies.

Earlier this year, we submitted our paper into the UK Parliamentary Inquiry into Commercialising Quantum Technologies, highlighting our regulatory perspective and approach to responsible innovation. Our collective feedback helped to shape some of the content and recommendations in the recent Regulatory Horizons Council review of the future regulation of quantum technology applications. We collectively emphasised to the Government that existing regulation will continue to apply as quantum technologies and industries develop and use cases evolve, and that there are examples where our existing remits are already relevant. But we also highlighted our technological neutrality - we do not approach quantum any differently to other technologies; through our remits we ensure technologies evolve responsibly and protect public interests. 

Activities of our member regulators 

  • We have engaged with other regulators and the NCSC on the transition to quantum secure systems. Most recently, representatives from the ICO, FCA and Ofcom attended an NCSC-run workshop with other regulators on the post quantum transition. Among other issues, the workshop explored how regulators might work together with the NCSC going forward, to support an effective long-term transition to quantum secure systems. 
  1. Regulatory update
  • The ICO has continued to engage and build our understanding of quantum technologies. In October, we published a dedicated futures report exploring the intersection of quantum technologies and data protection. It explores possible emerging use cases for quantum technologies, from quantum computing to quantum sensing and imaging, that might have data protection implications, and the issues that may arise. It further considers the future of information security and the ICO’s role in the future transition to quantum-secure systems, including next steps that we recommend large organisations take now to prepare.  
  • The ICO also continues to monitor developments in post quantum cryptography standards as an observing member of the British Standards Institute PQC standards working group. 
  • The FCA has made significant progress in advancing its quantum technologies work programme, particularly around the transition to quantum-secure systems. In January 2024, the FCA co-published a white paper with the World Economic Forum, “Quantum Security for the Financial Sector: Informing Global Regulatory Approaches”. In September 2024, the white paper was referenced in the G7 Cyber Expert Group’s Public Communique Planning for the Opportunities and Risks of Quantum Computing
  • The FCA has also remained active internationally, hosting a roundtable in New York with the US Financial Industry Regulatory Authority (FINRA) to further discuss quantum computing and quantum security with industry leaders, academics, standard setting bodies, and regulatory authorities. 
  • Additionally, in September 2024, the FCA launched a survey to gather evidence from financial services firms on their awareness, preparedness, and activities related to quantum security. 
  • The FCA will continue to build on this work to further define its future activities in quantum security while also engaging with stakeholders on the use cases and application of quantum computing within a financial services context. 
  • As a cross-economy regulator the CMA remains interested in how the markets for quantum technologies are developing and the impact of quantum on competition and consumers across the UK. 
  • Ofcom has already published work on quantum technologies and the future of communications. Ofcom continues to work with the NCSC on the transition to post quantum cryptography in the communications sector. Ofcom is also following relevant standards developments, including but not limited to ETSI, ITU and GSMA, (along with the ecosystems behind them) in order to ensure it is sighted on the implications for current and future regulation. 

We have continued to share our evolving insights with each other to ensure a joined up approach to the transition to quantum secure systems and the regulation of quantum technology applications.  

What’s next for the DRCF and quantum technologies  

Wider developments in quantum technologies continue to be a topic of interest to the DRCF HSET team. But, for most DRCF regulators, the more immediate discussions are likely to centre around the transition to quantum secure systems. 

At this stage, our collective approach will focus on continuing to share insights with each other, as well as with the Government, industry and other stakeholders. In particular, we will take the opportunity to share our perspective with fellow regulators as part of the Office for Quantum’s anticipated Regulatory Forum for Quantum Technologies

If you would like to engage with us further, there are a few ways you can get in touch: 

 

 

 

1 PRESS RELEASE: For the first time, researchers successfully demonstrate over euNetworks’ fibre infrastructure that quantum communication is possible between the United Kingdom and Ireland - Quantum Communications Hub (quantumcommshub.net) 

2 Oxford company unveils 'pivotal' quantum computing chip - BBC News 

3 2024 IBM Quantum roadmap update - IBM MediaCenter 

4 Introducing Riverlane’s Quantum Error Correction roadmap - Cambridge Innovation Capital (cic.vc)Volume 627 Issue 8005, 28 March 2024 (nature.com) 

5 Next Steps in preparing for post-quantum cryptography, National Cyber Security Centre 

6 Post-quantum cryptography: What comes next? National Cyber Security Centre 

 

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