The initiative - which was first aired in April - will see participating firms receive tailored support from the FCA’s regulatory team and its technical partner Advai to develop, assess and deploy safe and responsible AI. Gain Credit, Homeprotect part of the Avantia Group, NatWest, Monzo, Santander, Scottish Widows part of Lloyds Banking Group and Snorkl are the first group to take part. Many of the AI applications currently being tested as part of the project focus on retail financial services including use cases to harness AI to support debt resolution or provide financial advice. Applications are also exploring the potential for AI to help improve customer engagement, streamline complaints handling and help consumers to make smarter spending and saving decisions. Jessica Rusu, chief data, information and intelligence officer at the FCA, says: “Our new AI Live Testing service helps firms who are ready to use AI in live markets. By working closely with firms and our technical partner Advai, we’re helping to make sure that AI is developed and deployed safely and responsibly in UK financial markets.” Applications for the second cohort for AI Live Testing will open in January 2026 and participating firms will be able to start testing in April.