BoE Governor Bailey: Public Trust Is AI’s Biggest Problem

Bailey's framing matters because it places legitimacy, not capability, at the center of the AI debate — a notable shift for a central bank governor whose remit is financial stability rather than technology policy. The remarks carry weight for banks and fintechs deploying AI in regulated markets, where supervisory tolerance depends on demonstrable trustworthiness. Notably, Bailey attached no policy or regulatory instrument to the diagnosis, leaving the gap between rhetoric and rulemaking as the thing to watch.