Bank of England Committee Warns AI Growth Failure Could Threaten Government Bonds
The Financial Policy Committee urged financial institutions to prepare for advanced-AI risks, communicate with U.K. authorities and conduct more model testing before regulation is implemented.
The Bank of England’s Financial Policy Committee warned Sept. 30 that government bonds could face new threats if artificial intelligence growth fails to deliver the expected economic boost.
The committee said financial institutions should prepare for advanced-AI risks and communicate with U.K. authorities. Vulnerabilities in advanced AI systems have increased the need for risk planning across the financial sector.
It also called for additional testing of AI models before and after deployment, before regulation is implemented. The warning links a failure by AI growth to deliver the expected economic boost with new threats to government bonds.
