Fintech

Overview

Combining the words ‘financial’ and ‘technology’, fintech is technology-enabled financial innovation, which is changing the way financial institutions provide – and consumers and businesses use – financial services.

The Bank’s work on fintech aims to champion responsible innovation, which will benefit the financial system and broader economy in line with our statutory objectives.

As set out in our approach to innovation publication, our work focuses on three cross-cutting technologies: 

• artificial intelligence (AI)
• distributed ledger technology (DLT)
• quantum computing

While the Bank adopts a technology-agnostic approach to supervision and regulation – meaning we do not mandate or prohibit the use of certain technologies – we recognise that technology-specific benefits and risks may arise that have an impact on our statutory objectives. We work to understand and address this in a three-step process:

Artificial intelligence

AI offers the potential to usher in significant efficiency gains, boost productivity and transform the financial services sector, as well as the broader economy. The use of AI has increased in the UK’s financial services over the past few years, in both the number and types of use cases. While it has many benefits, including improving operational efficiencies and providing customers with personalised services, it could also present challenges to the safety and soundness of firms, and the stability of the financial system.

We are working proactively to ensure that the firms we regulate, and the wider financial system, can make safe and effective use of increasingly complex forms of AI.

AI Consortium

We launched the AI Consortium in May 2025 with the Financial Conduct Authority (FCA). It provides a platform for public-private engagement, gathering input from stakeholders on the capabilities, development, deployment and responsible use of AI in the UK’s financial services. The consortium brings together AI experts from across many sectors, offering diverse expertise and perspectives.

View the Artificial Intelligence Consortium webpage

Surveys on AI adoption

We have conducted surveys with the FCA to further understand how AI and machine learning is being deployed in the UK’s financial services, and the impacts this may have on our statutory objectives.

• Artificial intelligence in UK financial services – 2024

• Machine learning in UK financial services – 2022

• The impact of Covid on machine learning and data science in UK banking

• Machine learning in UK financial services – 2019

Recent work and publications on AI

May 2026: With the FCA and HM Treasury, we published a statement on Frontier AI models and cyber resilience.

February 2026: We published a summary of AI roundtables, held with regulated firms, to better understand the constraints that they may be facing in responsibly adopting AI and ML.

October 2025: We published our approach to innovation in artificial intelligence, distributed ledger technology and quantum computing. 

April 2025: The Financial Policy Committee (FPC) published a Financial Stability in Focus (FSiF) publication on artificial intelligence in the financial system.

April 2024: The Bank and the Prudential Regulation Authority (PRA) published a response to DSIT/HMT on our approach to AI. 

Distributed ledger technology

Distributed ledger technology (DLT) offers the possibility to fundamentally rewire parts of the financial system to unlock beneficial outcomes for private actors and our objectives. The Bank is considering how regulatory and legal frameworks can support the responsible adoption of DLT, as well as the usability of new forms of digital assets and digital money.

Digital Securities Sandbox

Operated by the Bank and the FCA, the Digital Securities Sandbox (DSS) is a regulated live environment created to explore how firms could use developing technologies to undertake the activities of notary, maintenance and settlement for financial securities either alone, or with the operation of a trading venue. It facilitates the use of developing technology, such as distributed ledgers, in the issuance, trading and settlement of securities in the UK.

View the Digital Securities Sandbox webpage

DLT Innovation Challenge

Launched in collaboration with the Bank for International Settlements Innovation Hub London Centre, the distributed ledger technology (DLT) Innovation Challenge is engaging with the private sector to better understand the implications of incorporating DLT into wholesale central bank settlement. This initiative is designed to deepen understanding of how central bank money could operate across different settlement models and infrastructures.

View the DLT Innovation Challenge webpage 

Recent work and publications on DLT

October 2025: We published our approach to innovation in artificial intelligence, distributed ledger technology and quantum computing. 

July 2024: We published our discussion paper on our approach to innovation in money and payments.

Quantum computing

Quantum computing could usher in a major technological leap in financial services in the coming decade. It represents a paradigm shift in computation and information processing, which could unlock beneficial use cases for firms – but could also pose risks and challenges. Our work on quantum computing marks the start of a commitment to navigating its transformative potential.

Our publications on fintech

View all Fintech publications

Recent speeches

May 2026: Modernising money and markets – speech by Sarah Breeden

February 2026: Talking 'bout next generation – speech by Sarah Breeden

October 2025: Not just token gestures – speech by Sarah Breeden.

October 2025: From new ideas to new market structures, how innovation is reshaping the financial system − speech by Sasha Mills.

September 2025: Building trust and supporting innovation in the multi-money verse − speech by Sarah Breeden.

July 2025: Building tomorrow’s markets: the digitalisation of finance – speech by Sasha Mills.

June 2025: RTGS 2: a launchpad for innovation − speech by Victoria Cleland.

June 2025: Innovation and regulation – striking the balance – speech by David Bailey.

May 2025: Data governance to set us free − speech by James Benford.

May 2025: International payment rails: the value of a harmonised gauge – speech by Sarah Breeden.

April 2025: Renewed RTGS: Digital public infrastructure as a platform for innovation – speech by Dave Ramsden.

October 2024: Engaging with the machine: AI and financial stability – speech by Sarah Breeden.

September 2024: TRUSTED AI: Ethical, safe, and effective application of artificial intelligence at the Bank of England – speech by James Benford.

July 2024: A data revolution: Built together, for everyone – speech by James Benford.

Contact us

If you would like to talk to us about our work, you can reach us at fintech@bankofengland.co.uk.