BoE warns banks to prepare for AI-enabled cyber breaches
XLF•The Bank of England is working with banks on recovery options for cyberattacks and surveying lenders on quantum-computing risks to encryption. Deputy Governor Sarah Breeden said banks can no longer assume their defenses are impenetrable.
1. Preparing for cyberattacks
The Bank of England is working with banks on “bare metal” recovery options for core services, Deputy Governor Sarah Breeden said, warning that AI-enabled attacks pose a systemic risk to the global financial system. The BoE is encouraging plans for systems independent of banks’ main technology setups that could operate if primary systems are compromised.
2. Assessing quantum risks
The BoE is surveying banks on their readiness for quantum computing risks and will use the results, alongside UK National Cyber Security Centre guidance, to shape a system-wide plan with the industry. Breeden said the timing of a quantum breakthrough was uncertain but that this was no reason to delay preparations.
