UK banks and building societies are enthusiastically embracing AI to enable customer experience excellence (CEE). This is prominent when it comes to using AI to tackle the rise in scams and fraud which are negatively impacting the customer experience. Inspiringly, banks have also been pushing the boundaries with AI to explore new business models and revenue streams. Examples include AI-driven bills management and wealth coaching tools, or growing partnerships within wider ecosystems related to non-financial services experiences. Despite this progress, there is caution, and there is a need to build customer trust when they are engaging with a robot not a human.

Unfortunately, it is also a tool available to fraudsters – an AI arms race is underway as banking firms seek to stay one step ahead. As a result, it is critical that banks consider the risk and control environment within which they will deploy AI solutions, to ensure adequate protections are in place to mitigate these risks.

"Trust is critical to facilitate value creation for retail and affluent banking customers. AI is presenting new opportunities to enhance trust, empathy and relevance to how banks support customers’ lives through new, enhanced and broader propositions and offerings, and tailored, proactive and lower-cost servicing. "

John Middlemiss
Partner. Financial Services, Customer Strategy