Britain Should Consider Regulating AI Models, FCA Official Says
The review says more than a quarter of UK consumers trust these tools for financial advice, exposing gaps in current protections.
- On Monday, Financial Conduct Authority Executive Director Sheldon Mills released a landmark review predicting artificial intelligence will transform retail financial services by 2030, providing regulators a roadmap to manage emerging risks.
- Research indicates that by 2030, around 11 million UK adults will likely use AI that makes autonomous financial decisions within pre-set goals, helping address the advice gap where only 9% of consumers use traditional advice.
- While offering opportunities, the review warns that widespread AI adoption could amplify fraud, cyber risks, and market concentration, as shared reliance on technology providers creates potential points of failure across the British financial system.
- Mills recommended the Financial Conduct Authority consider within three to six months whether to "secure and adapt" the regulatory perimeter by reviewing general-purpose models like ChatGPT, Claude, and Gemini currently outside its authority.
- Britain has deliberately avoided a bespoke AI law to maintain a pro-innovation edge, but Mills suggests the sector-by-sector model has a regulatory hole for general-purpose systems built by American companies.
31 Articles
31 Articles
British Watchdog Wants To Regulate AI Models Giving Financial Advise. Millions Are Already Doing It.
The executive director of consumers and competition at the FCA said the government should examine whether general-purpose large language models should fall within the country's regulatory framework.
The Economic Times
Times of IndiaGlobal Market: UK regulator urged to consider rules for AI chatbots in financial advice
A UK regulatory review has recommended that the Financial Conduct Authority consider bringing AI models such as ChatGPT, Claude and Gemini within its regulatory framework as their influence on consumer financial decisions grows. The report also warned of systemic risks from increasing reliance on a handful of AI and cloud providers.
FCA Signals Regulatory Reckoning as Millions Turn to AI Chatbots for Financial Guidance
Sheldon Mills has a message for the British public. More than one in four UK consumers now place trust in tools like ChatGPT, Claude and Gemini when seeking financial direction. Yet few grasp a basic fact. Advice from these systems carries none of the safeguards that protect users of regulated advisers. The Financial Conduct Authority’s executive director delivered that warning in comments that surfaced this week. And the implications stretch fa…
FCA eyes tougher AI rules as Brits turn to chatbots for financial advice
The Financial Conduct Authority (FCA) has called for greater powers to regulate artificial intelligence after warning the UK’s financial rulebook must evolve to keep pace with the number of consumers turning to chatbots for advice on their money. In a new review published on Monday, the watchdog said AI will become “a defining force” in retail financial services, transforming how consumers make financial decisions, how firms operate and how mark…
A senior FCA official says Britain should weigh regulating AI models directly
Britain should consider whether large language models such as ChatGPT, Claude, and Gemini ought to be regulated as they increasingly influence how consumers make financial decisions, a senior official at the Financial Conduct Authority has said. Sheldon Mills, an executive director at the FCA, argued that the existing rulebook will have to evolve as firms […] This story continues at The Next Web
UK Regulator Calls for Watchdog to Have More AI Firm Oversight
The UK should consider handing its financial watchdog greater oversight of artificial intelligence models from firms such as Anthropic and OpenAI, according to a report commissioned by the regulator.
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