Research Note: AI in UK financial services

This joint Bank of England and FCA report presents findings and analysis of the 2024 artificial intelligence (AI) in UK financial services survey.

The report includes:

a quantitative overview of the use and projected use of AI, including foundation models and large language models (LLMs)
approaches to AI governance, accountability and monitoring effectiveness
the share of AI use cases developed in house or by third party providers, as well as provider concentration
levels of automation in AI use cases
respondents’ views on the benefits of AI
respondents’ views on the risks of AI
perspectives on constraints to the development and deployment of AI

AI use in financial services

9 key facts and statistics on AI use in financial services

Infographic with 9 blocks showing key facts and statistics about AI use:

75% of firms are using AI. 10% more plan to in the next 3 years.
Foundation models (including LLMs) make up 17% of AI use cases.
33% of AI use cases are from third parties.
55% of AI use cases have some automated decision-making. Only 2% are fully autonomous.
62% of AI use cases are low materiality vs 16% high (as rated by firms).
Greatest perceived benefits are in data and analytical insight, AML and combatting fraud, and cybersecurity of AI use cases have some automated decision-making. Only 2% are fully autonomous.
Greatest perceived risk is cybersecurity. Growing risks are third party dependencies, model complexity, and embedded models.
84% of firms have a person accountable for AI.
34% of firms have ‘complete understanding’ of the AI they use, 46% have a ‘partial understanding’.

This survey builds on a range of joint work, including the:

2019[4] and 2022[5] machine learning (ML) surveys
Artificial Intelligence Public-Private Forum (AIPPF) final report[6] (February 2022)
Discussion Paper DP5/22: ‘Artificial Intelligence and Machine Learning’[7] (October 2022)
wider domestic and international discussion about the use of AI in financial services

In publishing the findings of the AI survey, we:

demonstrate our commitment to monitoring the state of AI deployment
improve our collective understanding
support the safe and responsible adoption of AI technology in UK financial services

We’ve published joint reports with the Bank of England on past surveys on machine learning (ML) in 2019 and 2022 which covered:

a quantitative overview of the use of ML
the ML implementation strategies of firms
approaches to the governance of ML
the share of ML applications developed in house or by third party providers
respondents’ views on the benefits of ML
perceptions of risks and ethical considerations
perspectives on constraints to development and deployment of ML
a snapshot of the use of different methods, data, safeguards performance metrics, validation techniques and perceived levels of complexity of ML

The 2022 report closes with a selection of case studies, describing a sample of typical use cases, including:

03/12/2025 : System update No content change

10/01/2025 : Link added update to the righthand navigation of page

21/11/2024 : Editorial amendment Edit to 'foundational models'

First published: 10/10/2022 Last updated: 03/12/2025 See all updates