The Parliamentary Treasury Committee has Called on Consures, Finance Firms and It Suppliers To Provide Evidence to Support Anquiry into the Use of Artificial Intelligence Or.
AI is used widely in the finance sector where automation is rife. This include chatbots supporting customers and even the use of ai in making trading decisions.
Banks and other finance firms have the money, it skills and business cases to increase the use of ai. In Fact, The Bank of England Figures Recently Revealed that 75% of Finance Firms are alredy using ai, with a further 10% planning to use it over the next three years.
But left to their own devices, banks will push the technology to break the point, according to one Senior It Professional In the UK Finance Sector, Who Said: , ' We can automate loads of stuff and save a load of money with branches, head offices or staff until it goes wrang '. “
Wide adoption
The Treasury Committee Inquiry Goes Beyond Banks and Includes The Wider Finance Sector Such as Insurance and Pensions. There is a balance that must be reacted because ai has government support, but there are great risks associated with its use in the finance sector.
The committee of mps may explore how ai is currently used by finance firms and what options it brings for innovation, could consider the potential impact on emplorymant in the sector, and there Eopardise Financial Stability ”. It might also question with there are increasing Cyber Security Risks.
Mp Meg Hillier, Labor (Co-Op) MP for Hackney South and Shorech, Who Chairs the Committee, Said that Governments Have Bee Been Clear That They Intend to Support the Increased Use of Ai in the Economi.
“My Committee Wants to Undrstand What that will look like for the financial services sector and how the [finance sector] Might change in the coming years as that transformation gathers pace, ”She said.
“It's critically important the [finance sector] Can capitalize on innovations in ai and continue to be a world leader in finance, “She added, but warned of the risks associated with unfetured use of ai. “We must also be madful of ensuring there are adequate safeguards in place to mitigate the associateed risks, particularly for customers.”
The call for evidence, which is open until March 17.
The human cost of increasing take-up of ai includes huege job cuts as an increase range of human roles are automated, resulting in job losses and lesson contact for Consures in his journey.
A recent bloomberg intelligence report predicts 200,000 middle and back-offfice jobs will be lost to ai, while uk banks expand the use of technology soch as ai to replace people and branchas on
There are also shows that automation can increase the likelihood of another Financial Crash as Automated Systems Accelerate Trading.
The financial services regulator is working with stakeholders to help ensure that ai is taken up in a way that benefits the industry, but negations risks.
DURING An International Financial Conference in hong kong, deputy governor of financial stability at the bank of england Sarah Breeden said that regulation must have ahead of ahead of ai take-up. To this end, the regulator plans a consortium where private sector finance organasations and ai experts can provide knowledge on the technology's Benefits to the sector and to manage risk.