Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of new artificial intelligence models on the risk of financial market manipulation.

This question was answered on 16th April 2026

The Government’s ambition is to make the UK a global leader in AI. Encouraging safe adoption is an essential part of realising that ambition. We will continue to work closely with regulators and industry to ensure innovation proceeds safely and responsibly and that any risks to financial markets are identified and mitigated.

In particular, the Bank of England’s Financial Policy Committee (FPC) is responsible for identifying, monitoring and taking action to remove or reduce systemic risks to the UK financial system. The FPC’s April 2025 Financial Stability in Focus publication set out potential risks to financial stability that could result from increasing AI use, including in relation to market manipulation, and their response to these.