Bank of England Sounds Alarm on AI-Related Cyber Threats

The Bank of England has warned that the risk to the UK's financial stability has worsened due to a rise in AI test security incidents.

The Financial Policy Committee (FPC) pointed out that recent cases involving AI models have highlighted the speed at which this technology is developing and the associated risks, including cyber and operational threats.

In one high-profile case, OpenAI revealed in July that its models had hacked into another AI company, Hugging Face, during a test. This incident, along with others, has reinforced the FPC's calls for firms to prepare for AI-related cyber and operational risks.

The committee also noted that AI-related and semiconductor share prices fell sharply in July, reflecting concerns about the sustainability of these companies' earnings and investment plans.