UK’s Financial Conduct Authority (FCA) has launched its first AI Live Testing initiative.
The programme works with major firms to assess AI in a controlled environment and to better understand its benefits and risks in UK financial markets.
The programme supports firms that are ready to deploy AI in live settings.
Participants receive guidance from the FCA’s regulatory specialists and technical partner Advai to help develop, evaluate and implement AI systems responsibly.
The first cohort includes Gain Credit, Homeprotect (Avantia Group), NatWest, Monzo, Santander, Scottish Widows (Lloyds Banking Group) and Snorkl.
The testing focuses on practical questions around evaluation frameworks, live monitoring, governance and risk management.
It aims to ensure that AI technologies are introduced in a way that protects consumers.
It also seeks to maintain the integrity of markets.
Many participating firms are trialling AI applications in retail financial services.
These include tools designed to support debt resolution, deliver financial advice, enhance customer engagement and improve complaints handling.
Other use cases examine how AI can help consumers make more informed spending and saving decisions.
Jessica Rusu, Chief Data, Information and Intelligence Officer at the FCA, said:
“Our new AI Live Testing service helps firms who are ready to use AI in live markets. By working closely with firms and our technical partner Advai, we’re helping to make sure that AI is developed and deployed safely and responsibly in UK financial markets.”
Insights gained through the project will help shape the FCA’s future approach to AI and provide a clearer understanding of how the technology may influence the sector.
The initiative complements the FCA’s Supercharged Sandbox, which supports firms still in the exploratory phase of AI development.
Applications for the second AI Live Testing cohort will open in January 2026, with new participants able to begin testing in April 2026.
Featured image credit: Edited by Fintech News Switzerland, based on image by DC Studio via Freepik
