The Bank of England regulator warns that the latest AI models could trigger significant upheaval in the financial industry

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Investing.com — The Prudential Regulation Authority (PRA), the regulator under the Bank of England, issued a warning on Wednesday, saying that the latest generation of artificial intelligence models could have a serious impact on the financial services industry.

Sam Woods, Chief Executive Officer of the PRA, said there is good reason to expect that AI systems such as Anthropic’s Mythos and ChatGPT 5.5 Instant will cause significant disruption across the industry.

Woods emphasized that these models are becoming increasingly capable of identifying system vulnerabilities. He said banks must quickly patch these security weaknesses and noted that patching system vulnerabilities is one of the main reasons for service interruptions in the financial system.

The regulatory official said that financial institutions need to strengthen baseline cybersecurity standards and respond more swiftly to all kinds of threats. He added that AI-driven defense systems are becoming increasingly important. Woods made the remarks at the “Growth Implementation Summit” hosted by UK Finance.

In April this year, Anthropic rolled out its latest AI model, Mythos, to a small number of companies. Cybersecurity experts believe the technology poses challenges to the banking sector and its legacy technology systems. A cybersecurity working group led by the Bank of England concluded last month that the sector is prepared to meet these challenges.

This article was translated with the assistance of artificial intelligence. For more information, please see our Terms of Use.

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