Shanika Amarasekara MBE, FLA Chief Executive said:
“AI is reshaping consumer finance faster than many people realise. It’s changing how people search, compare and make financial decisions, and the Mills Review rightly recognises that we are moving towards a world where financial support is more personalised, continuous and, in some cases, delegated.
“For lenders and finance providers, the prize is enormous. AI can make borrowing simpler, improve fraud detection, identify financial difficulties earlier and deliver better outcomes for customers. But innovation will only succeed if people trust it. Customers need to understand when AI is being used, have confidence that decisions are fair and transparent, and remain in control.
“Getting the next phase right matters far beyond financial services. Finance & Leasing Association members provide £163 billion of new lending every year, financing the real economy by helping millions of consumers make essential purchases and enabling businesses across the UK to invest, grow and create jobs. Responsible adoption of AI can make that finance faster, more efficient and more accessible.
“The challenge now is to strike the right balance. Firms need a policy environment that gives them the confidence to innovate and invest responsibly, while ensuring consumers remain protected. Policymakers should also consider the growing influence of AI tools operating outside the regulated financial sector. As more people turn to AI to help make financial decisions, the rules must evolve to ensure trust, fair competition and innovation continue to work hand in hand.”
Notes to Editors
- In 2025, FLA members provided £163 billion of new finance to UK businesses and households, £122 billion was in the form of consumer credit, accounting for almost a third of all new consumer credit written in the UK. £55 billion of it supported the purchase of new and used cars, including over 85% of private new car registrations
- For media enquiries, please contact the FLA press office on 020 7420 9656.
