Overview
- A cross-party Treasury Committee says a 75% AI uptake across finance, coupled with a wait-and-see stance by regulators, leaves consumers and markets exposed to "potential serious harm."
- The report urges the Bank of England and the FCA to run AI-specific stress tests and asks the FCA to issue detailed guidance by the end of 2026 on consumer rules and senior accountability.
- MPs flag concentration risk from reliance on a few U.S. cloud and AI firms and criticise delays under the Critical Third Parties regime, noting no providers have been designated so far.
- The FCA and the Bank of England welcomed the findings and said they will review the recommendations, with no commitment to AI-specific rules at this stage.
- The government appointed Starling’s Harriet Rees and Lloyds’ Rohit Dhawan as unpaid AI champions to help steer safe adoption across financial services.