Artificial Intelligence to be used by UK local authority

Enfield Council is to use Artificial Intelligence as part of its customer service, planned to go live in Autumn 2016.
The story is relatively straightforward in terms of innovation and positive customer experience.
But read down to the end and note the quote from the council’s opposition.
UK local authorities are facing huge financial pressure at present, so is there anything in the concerns in this article about reducing the staff numbers?
Is the opposition quote reactionary or prophetic?
Please feel free to share your thoughts in the comments.