Bank of England considers agentic AI rules, Sarah Breeden warns
The Bank of England is looking at new rules to deal with the rise of autonomous artificial intelligence, called agentic AI, in financial services.
These systems can make decisions on their own, and Deputy Governor Sarah Breeden says their rapid growth is showing cracks in current banking safeguards.
She pointed out that relying on humans to oversee everything just isn't realistic anymore.
Breeden urges stronger AI safeguards
Breeden suggested banks need stronger backup plans and emergency circuit breakers to keep things running smoothly if AI goes off track, especially during market chaos.
Over half of financial firms already use this kind of AI for things like product suggestions, but Breeden warned that if these systems start acting unpredictably, they could actually make financial crises worse.
There are also fresh worries about cybersecurity risks from advanced models like Anthropic's Mythos.