Question to the Department for Science, Innovation & Technology:

To ask His Majesty's Government what assessment they have made of the impact of increased adoption of AI tools on employment levels in the banking sector; and what steps they are taking to support skills development and the long-term resilience of the financial services labour market.

The Government recognises that increased adoption of AI in financial services, including banking, has the potential to change the nature of some roles while supporting productivity growth, innovation and improved consumer outcomes. Financial services is already a leading adopter of AI in the UK and will play a key role in delivering the Government’s ambition to have the fastest AI adoption rate in the G7.

The Government is working closely with industry and regulators to better understand the implications of AI adoption, including for the workforce. To support skills development and long-term labour market resilience, we have commissioned work through the Financial Services Skills Commission on how the skills system can support effective adoption of AI and other disruptive technologies. This sits alongside the Government’s wider ambition to equip up to 10 million people with AI skills, helping workers adapt as roles evolve and ensuring the financial services labour market remains competitive and resilient.