Regulations

Story: FCA Picks Barclays, UBS Among Eight Firms for AI Testing Round

By Steven Anderson

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What the FCA Says About Innovation. Jessica Rusu, the FCA's chief data, information, and intelligence officer, talked about the…

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The Bigger Picture on AI Regulation. In January 2026, the FCA kicked off a review led by Sheldon Mills.

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What Comes Next for AI Testing. The eight firms will spend the rest of 2026 testing their AI applications.

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The Financial Conduct Authority just named eight firms for its second round of AI Live Testing. Barclays and UBS made the cut. So did Experian and Lloyds Banking Group.

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The announcement came during UK FinTech Week, and it's pretty clear the regulator wants AI rolled out safely.

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Testing kicked off in April, and firms have until year-end to wrap things up. An evaluation report's due in the first quarter of 2027.

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Jessica Rusu, the FCA's chief data, information, and intelligence officer, talked about the regulator's commitment to supporting AI development.

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The FCA's Strategy 2025–2030 lays out a broader vision. Evidence-led policy, strengthened regulatory engagement, earlier collaboration with firms.

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In January 2026, the FCA kicked off a review led by Sheldon Mills. The review looks at how advanced AI affects consumers and retail financial markets.

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The FCA's Innovation Insights report came out alongside the second cohort announcement. The report shows a 49% increase in regulatory sandbox applications, a sign that fintech…

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Back in September 2025, the FCA released a Feedback Statement on AI Live Testing. That statement set the stage for the current cohort, emphasizing the importance of working…

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More context: Polish Crypto Firms Eye Exit as Parliament Stalls on EU Rules

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The FCA's approach to AI regulation is deliberate. No rush to create new rules. Instead, the regulator's leaning on existing frameworks, adapting them as needed.

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The eight firms will spend the rest of 2026 testing their AI applications. Barclays, UBS, Experian, Lloyds Banking Group—each has its own focus, its own use case.

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Advai's role is critical here. The firm's expertise in AI assurance means participating firms can test their systems rigorously, identifying weaknesses before deployment.

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