PANews reported on October 31 that according to Jinshi, the deputy governor of the Bank of England, Breeden, said that financial regulators must establish a policy framework to manage the risks brought by artificial intelligence (AI) and ensure financial stability. Breeden pointed out that the rapid development of generative AI and its application may have an impact on the financial system. To this end, the Bank of England has launched an artificial intelligence alliance, inviting the private sector and AI experts to participate, aiming to gain a deeper understanding of the benefits and potential risks of AI.
According to a five-year survey by the Bank of England and the Financial Conduct Authority (FCA), the application of AI in financial services is growing rapidly, with 75% of the nearly 120 companies surveyed having adopted some form of AI, up from 53% in 2022. The Bank of England will work with the FCA, the government and international partners to promote the safe application of AI.
The Bank of England's Financial Policy Committee (FPC) is paying attention to the macro-prudential risks brought by artificial intelligence, especially its potential impact on financial stability. The FPC plans to publish a detailed assessment report on the impact of AI on financial stability early next year to help formulate appropriate regulatory policies to ensure the safe application of AI in the financial system.
