HM Treasury has officially enlisted the Financial Services Skills Commission (FSSC) to conduct pivotal research exploring how artificial intelligence (AI) and other disruptive technologies can influence the financial sector. This initiative aims to ensure that the UK remains at the forefront of technological advancement in financial services.

In a recent correspondence to Mark Hoban, chairman of the FSSC, and Claire Tunley, its director general, Economic Secretary to the Treasury Lucy Rigby emphasized the critical need for research on the effects of technology. This research will assess how the UK finance industry can maintain its competitive edge as innovations emerge.

Scope and Objectives of the Research

The research commissioned by HM Treasury will delve into several key areas. It will evaluate technologies poised to make a substantial impact on the financial sector, assess the extent of that impact, and identify the skills necessary for the workforce to effectively adopt these technologies, accompanied by a strategic plan for implementation.

Importance of Skill Development

Lucy Rigby articulated the significance of attracting global talent and developing relevant skills throughout the next decade. She stated, “The UK’s financial center has long attracted the brightest and best global talent. Continuing to attract the right talent and develop the right skills over the coming decade will be fundamental to the Government’s objective.”

Driving Growth Through a Skilled Workforce

Building a highly skilled financial services workforce across all regions of the UK is expected to propel growth and enhance productivity. Rigby highlighted the necessity of skilled professionals in serving a digitally evolving market, stating that “a skilled workforce is essential for fostering innovation and driving success in the financial industry.”

Embracing AI and Digitalization

As AI and other cutting-edge technologies continue to proliferate in the financial market, embedding the skills needed for digitalization and innovation becomes imperative. Rigby remarked, “We need to embed the skills that will equip our workforce to lead the way in digitalization, innovation, and adoption.”

Conclusion

The findings of this research are expected to inform critical decisions about workforce training and the strategic integration of new technologies in the UK’s financial sector. By prioritizing skill development and technological adaptation, the UK aims to secure its position as a global leader in financial services innovation.