Current:Home > MarketsBank of England will review the risks that AI poses to UK financial stability-InfoLens
Bank of England will review the risks that AI poses to UK financial stability
View Date:2024-12-23 14:28:46
LONDON (AP) — The Bank of England, which oversees financial stability in the U.K., said Wednesday that it will make an assessment next year about the risks posed by artificial intelligence and machine learning.
In its half-yearly Financial Stability Review, the bank said it was getting advice about the potential implications stemming from the adoption of AI and machine learning in the financial services sector, which accounts for around 8% of the British economy and has deep-rooted global connections.
The bank’s Financial Policy Committee, which identifies and monitors risks, said it and other authorities would seek to ensure that the U.K. financial system is resilient to risks that may arise from widespread use of AI and machine learning.
“We obviously have to go into AI with our eyes open,” bank Gov. Andrew Bailey said at a press briefing. “It is something that I think we have to embrace, it is very important and has potentially profound implications for economic growth, productivity and how economies are shaped going forward.”
Over the past year, the potential benefits and threats of the new technologies have grown. Some observers have raised concerns over AI’s as-yet-unknown dangers and have been calling for safeguards to protect people from its existential threats.
There is a global race to figure out how to regulate AI as OpenAI’s ChatGPT and other chatbots exploded in popularity, with their ability to create human-like text and images. Leaders in the 27-nation European Union on Wednesday are trying to agree on world-first AI regulations.
“The moral of the story is if you’re a firm using AI, you have to understand the tool you are using, that is the critical thing,” Bailey said.
Admitting that he is “palpably not” an expert on AI, Bailey said the new technologies have “tremendous potential” and are not simply “a bag of risks.”
veryGood! (2)
Related
- Democrat Janelle Bynum flips Oregon’s 5th District, will be state’s first Black member of Congress
- With playmakers on both sides of ball, undefeated 49ers look primed for another playoff run
- Italy investigates if acrobatic plane struck birds before it crashed, killing a child on the ground
- Georgia still No. 1, while Alabama, Tennessee fall out of top 10 of the US LBM Coaches Poll
- Spurs coach Gregg Popovich had a stroke earlier this month, is expected to make full recovery
- $6 billion in Iranian assets once frozen in South Korea now in Qatar, key for prisoner swap with US
- 'It's too dangerous!' Massive mako shark stranded on Florida beach saved by swimmers
- 5 people shot, including 2 juveniles, in Boston's Dorchester neighborhood
- Florida man’s US charges upgraded to killing his estranged wife in Spain
- Teyana Taylor and Iman Shumpert split after 7 years of marriage, deny infidelity rumors
Ranking
- Suicides in the US military increased in 2023, continuing a long-term trend
- 'It's too dangerous!' Massive mako shark stranded on Florida beach saved by swimmers
- Deal Alert: Get a NuFACE The FIX Line Smoothing Device & Serum Auto-Delivery For Under $100
- Kirsten Dunst Proves Her Son Is a Spider-Man Fan—Despite Not Knowing She Played MJ
- Why California takes weeks to count votes, while states like Florida are faster
- Mega Millions jackpot reaches $162 million. See winning numbers for Sept. 15 drawing.
- '60 Minutes' producer Bill Owens revamps CBS News show with six 90-minute episodes this fall
- In corrupt Libya, longtime warnings of the collapse of the Derna dams went unheeded
Recommendation
-
Diddy's ex-bodyguard sues rape accuser for defamation over claims of 2001 assault
-
Is avocado oil good for you? Everything you need to know about this trendy oil.
-
UAW strike, Trump's civil trial in limbo, climate protests: 5 Things podcast
-
Man trapped in vehicle rescued by strangers in New Hampshire woods
-
Kristin Cavallari's Ex Mark Estes Jokingly Proposed to This Love Island USA Star
-
South Florida debacle pushes Alabama out of top 25 of this week's NCAA 1-133 Re-Rank
-
Italy investigates if acrobatic plane struck birds before it crashed, killing a child on the ground
-
Billy Miller, 'Young and the Restless,' 'General Hospital' soap star, dies at 43