Question to the HM Treasury:

To ask His Majesty's Government what assessment they have made of the risk to consumers using AI chatbots for financial advice, following the consumer study findings from Which? stating such tools provided inaccurate financial advice.

The government recognises that many people lack the support they need to make financial decisions and are increasingly turning to technologies such as general purpose large language models for help.

Together with the Financial Conduct Authority (FCA), the government wants to ensure that people can receive meaningful support from firms they know and trust, such as their bank or pension provider. That is why we are enabling trusted firms to do more to proactively support their customers.

To deliver this, the government is introducing a new regime for targeted support, which will allow firms to engage directly with customers and suggest products or courses of action for their financial situation. As announced by the Chancellor at Mansion House, targeted support will be available online in time for the next financial year.

Alongside this, the UK’s data protection framework applies to the processing of personal data across the design, development and deployment of AI tools. Organisations are required to ensure that personal data is processed fairly, lawfully, transparently, and securely. People also have a number of rights over how their personal data is used, such as the right of access, rectification, or erasure.