The Bank of England on Tuesday signalled the need for bespoke AI regulation to contain risks to the financial system posed by increasingly capable agentic systems, in a potential shift in its approach to overseeing the technology.
Following years of insistence that existing frameworks were sufficient to mitigate AI risks, Deputy Governor Sarah Breeden said rapid developments in areas like agentic payments and trading had exposed potential gaps that could require a more sophisticated regulatory response. Agentic AI can make decisions and operate autonomously.
