Emma RadmoreJessica Ruso has spoken at the FCA Innovation 10th anniversary event, looking back at the FCA’s innovative initiatives over the past 10 years and forward to the future. The event marks 10 years of the regulatory sandbox which has now supported around 1,000 firms. She discussed the impact of tech globally, and how the FCA’s various “sprint” events have acted to raise awareness of key issues, such as APP fraud. She looked at firms that started out in the sandbox and have now become large, successful authorised businesses, and how these firms use AI, behavioural analytics and real time data to reduce risks.
She moved on to discuss the future of AI in financial services, saying it will revolutionise them – but the FCA’s critical role is to ensure AI is deployed safely and fairly both to consumers and the market as a whole. It will soon publish the third edition of its AI survey and stands ready to address future challenges. Since its Digital Sandbox launched, it has seen over 50 AI-related applications – nearly half the applications to that particular sandbox.
The FCA is now launching a new initiative, the AI Lab, which will:
- provide a space for firms and innovators to share examples of use and emerging uses of AI solutions;
- hold a Policy Sprint in January 2025;
- create an “AI Input Zone” for sharing ideas and thoughts on the future of AI in UK financial services; and
- through a Supercharged Sandbox with greater technological backing, provide more support to firms.
The FCA has also published a detailed report looking back on the past 10 years.