The United Kingdom is making a concerted effort to attract the San Francisco-based AI company to its shore, even as Anthropic faces a high-profile dispute with the United States government

Officials at the UK’s Department for Science, Innovation and Technology have drafted proposals that could see Anthropic expand its London office and even pursue a dual stock listing, according to The Financial Times.

The initiative comes in the wake of a public fallout between Anthropic and the US Department of Defense earlier this year. After the AI company refused to adjust certain AI guardrails, the Pentagon canceled its contract and labeled Anthropic a supply chain risk, escalating tensions between the startup and US regulators.

UK officials appear to see the situation as an opportunity to strengthen the country’s AI sector, positioning London as an alternative hub for high-profile AI firms amid growing scrutiny in the US.

Although a court-ordered injunction has temporarily blocked the US government’s designation of Anthropic as a supply chain risk, the dispute is far from resolved.

In the meantime, the UK has stepped up efforts to attract the San Francisco-based AI company, leveraging its ongoing disagreements with the US, according to FT sources.

With no clear resolution to the Department of Defense debacle, Anthropic CEO Dario Amodei is expected to visit the UK in May.

Even in London, however, Anthropic will face competition from OpenAI, which announced plans to expand its presence in the city earlier this year.