The latest A-Team Insights article – featuring TCC’s (TCC, Recordsure and Momenta) CEO, Joe Norburn – highlights that as AI is now widely embedded across financial services, the focus is shifting from adoption to governance.
With governance approaches still uneven, many firms continue to rely on control frameworks designed for more deterministic systems, where decision paths could be more easily traced and explained. As AI becomes more complex and embedded, this is becoming harder to achieve. Existing regulatory frameworks, such as Consumer Duty, SM&CR and operational resilience, remain central, but emphasis is moving towards how they are applied when decisions are less visible and outcomes are shaped by complex systems.
Regulators are increasing their engagement with the industry and evolving supervisory approaches, with a growing focus on how firms evidence outcomes, manage risk and maintain accountability as AI scales. The most difficult challenges are emerging after deployment, once AI is embedded in critical processes, where issues of fairness, oversight and accountability become operational realities.