UK financial system ‘may not be prepared enough for major AI-related incidents’

AI is being used by businesses in a variety of ways, including to automate admin functions and to deliver core services such as processing insurance claims and credit assessments, the Treasury Select Committee said (Dominic Lipinski/PA) - (PA Archive)

“Worrying” evidence that the UK’s financial system should be more prepared for the risks of AI-driven market shocks has been highlighted by an influential committee of MPs.

Not enough is being done by regulators to manage risks from increased use of AI (artificial intelligence) in the financial services sector, the Treasury Select Committee said.