In an effort to support the safe deployment of AI tools in the financial sector, the U.K.’s Financial Conduct Authority (FCA) has launched a consultation on a proposed AI testing service.
On Tuesday, the FCA issued a proposal seeking feedback on its proposed, first-of-its-kind live AI testing service, which it envisions as helping industry firms to adopt safe and responsible AI tools.
“We want to ensure compliance is the foundation for helpful innovation rather than a barrier to it… firms will be able to live-test AI models to build confidence in their performance, while also receiving regulatory support and regulatory comfort to support appropriate deployment,” the paper said.
The regulator aims to launch the live testing service in September, and plans for it to operate for 12 to 18 months.
The regulator said that the service “will help firms transition from proof of concept to live market deployment, whilst offering us empirical insights into what is needed to design, develop, evaluate and deploy safe and responsible AI in UK financial markets.”
“Our goal is to give firms the confidence and certainty to invest in AI systems in a way that drives growth and delivers positive outcomes for UK consumers and markets,” the paper said. “We also want to work with industry to better understand AI risks and explore effective mitigation strategies, to support the FCA’s regulatory and supervisory approach to ensure a safe and responsible future for AI.”
“Under our new strategy, we’ve committed to being increasingly tech positive to support growth. We want financial firms and their customers to benefit from AI, so we’re providing a safe space to test how they plan to use it,” said Jessica Rusu, the FCA’s chief data, intelligence and information officer, in a release.
The paper is out for consultation until June 10.