Call for evidence on potential impacts of Artificial Intelligence use in banking, pensions and other financial services

A new inquiry by the Treasury Committee will consider the potential impacts of the increased use of Artificial Intelligence (AI) in banking, pensions and other financial services.

The Committee’s call for evidence is now open, as it seeks to understand how financial services can utilise AI whilst protecting consumers against potential risks. The closing date is March 17, 2025.

The inquiry welcomes evidence in the following areas:

• How is AI currently used in different sectors of financial services and how is this likely to change over the next ten years?
• Are financial services adopting AI at a faster rate than other sectors in the economy?
• To what extent can AI improve productivity in financial services?
• What are the risks to financial stability arising from AI and how can they be mitigated?
• What are the benefits and risks to consumers arising from AI, particularly for vulnerable consumers?
• How can Government and financial regulators strike the right balance between seizing the opportunities of AI but at the same time protecting consumers and mitigating against any threats to financial stability?

This inquiry could explore how AI is currently used by City firms as well as what opportunities it brings for innovation in the financial services sector. It may also consider the potential impact on employment in the sector and ask how the UK compares to other countries in both its competitiveness and approach.

The Committee may also review the extent to which AI could jeopardise financial stability and question if there is the potential for increased cyber security risks.