Barclays has been ushered into the second cohort of firms handpicked by the City watchdog for its artificial intelligence live testing scheme, as Britain’s banking establishment doubles down on the technology race reshaping financial services.
The FTSE 100 lender will rub shoulders with its high street rival Lloyds Banking Group, which is entering the programme through its Scottish Widows subsidiary, alongside credit reference agency Experian, payments outfit GoCardless and Swiss banking giant UBS.
Run by the Financial Conduct Authority in partnership with Advai, the British specialist in automated testing, evaluation and assurance of AI systems, the initiative offers successful applicants a regulatory safe harbour in which to put their models through their paces. The intention is to let firms iron out governance wrinkles well before those systems are turned loose on high-stakes decisions affecting consumers.
Speaking at Innovate Finance’s Global Fintech Summit, Jessica Rusu, the FCA’s chief data, information and intelligence officer, said the scheme “reflects our commitment to supporting the pace of change in AI, whilst demonstrating how regulators and industry can work together to harness innovation responsibly”.
The announcement lands at a moment when Britain’s traditional lenders are under acute pressure to demonstrate tech credentials that can stand comparison with the tech-native neobanks snapping at their heels. Investors have grown increasingly impatient for a convincing AI narrative, particularly one that sets out concrete implications for costs and headcount.
Support authors and subscribe to content
This is premium stuff. Subscribe to read the entire article.
