The UK’s financial watchdog has announced it will work with leading companies to safely test artificial intelligence (AI) technology to better understand its potential risks and benefits.
The Financial Conduct Authority (FCA) announced on Wednesday that it has launched the first AI live testing initiative in the financial sector to support companies ready to leverage AI in the market.
Participating companies will receive tailored support from the FCA’s regulatory team and the project’s technology partner, AI assurance firm Advai.
Jessica Luss, Chief Data, Information and Intelligence Officer at the FCA, said: “Our new AI Live Testing Service will support businesses ready to take advantage of AI in live markets. By working closely with businesses and our technology partner Advai, we are helping to ensure that AI is developed and deployed safely and responsibly in UK financial markets.”
NatWest, Santander, Monzo, Lloyds Banking Group and Avantia Group subsidiaries are among the first groups of companies to join the initiative.
Through testing, organizations want to address key questions around assessment frameworks, live oversight governance, and risk management before mass adoption of AI in banking and financial services.
According to the FCA, many of the AI applications currently being tested as part of the project focus on personal financial services and include use cases such as using AI to support debt resolution and financial advice. Some applications focus on AI in customer engagement and service.
