Financial Markets: Artificial Intelligence

(asked on 22nd July 2026) - View Source

Question to the HM Treasury:

To ask His Majesty's Government what assessment they have made of the financial stability risks arising from the increasing use of autonomous artificial intelligence agents in financial markets.


Answered by
Lord Pitt-Watson Portrait
Lord Pitt-Watson
Parliamentary Secretary (HM Treasury)
This question was answered on 3rd August 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 market related risks, and their response to these.

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