British Banks Deploy Agentic AI: FCA Regulator Warns of New Risks

On December 17, 2025, the UK’s Financial Conduct Authority (FCA) issued an official warning to the banking sector regarding the accelerated deployment of agentic artificial intelligence (agentic AI). The country's leading financial institutions, including NatWest, Lloyds, and Starling, are already preparing to launch pilot projects where AI agents can act autonomously: managing accounts, executing transactions, and providing financial advice. The regulator emphasizes that such systems carry risks of "unintended behavior" that could undermine financial market stability and the security of personal client data.

FCA representatives stated that the race for technological superiority must not come at the expense of consumer protection. The oversight body's primary concern is the difficulty in establishing liability for the actions of autonomous algorithms. Banks have been tasked with developing stringent control protocols and "emergency brake" mechanisms for agentic systems. Experts believe this statement marks the beginning of a new national regulatory framework that will define the rules of the game for autonomous financial assistants in the UK and potentially across Europe.

Source: Reuters