Proudly Headquartered in Birmingham's Jewellery Quarter
While Formiti operates in over 120 jurisdictions, our strategic heart is located in the historic St Paul's Square, Birmingham. As a leading voice in the West Midlands tech and manufacturing sectors, our headquarters serves as the central command for our global DPO-as-a-Service and AI Governance teams. From this central UK hub, we bridge the gap between local regulatory enforcement and international data compliance
"Black Box" to "Boardroom Ready": Solving the Explainability Crisis
In 2026, "the AI did it" is no longer a legal defense. We turn complex neural networks into auditable governance trails.
The Three Pillars of Financial AI Defense:
- The Algorithmic Audit (SM&CR Alignment): We don't just test code; we map AI decision-paths to the Senior Managers and Certification Regime. We identify exactly which individual holds the "prescribed responsibility" for each autonomous model, ensuring your firm meets the 2026 "Duty of Care" standards.
- The Bias Mitigation Engine: Using our proprietary Fairness-as-a-Service audits, we stress-test your AI against the Equality Act 2010 and the FCA Consumer Duty. We provide the evidence needed to prove that your automated lending or insurance premiums aren't inadvertently discriminating against protected characteristics.
- Third-Party AI Vetting (The CTP Shield): With the UK Treasury now designating Critical Third Parties (CTPs) for enhanced scrutiny in 2026, we vet your reliance on external LLMs (like OpenAI or Anthropic). We ensure your data processing agreements include the mandatory "Right to Audit" clauses for AI supply chains.
"How do UK banks comply with AI transparency in 2026?"
"UK financial firms comply with 2026 AI transparency mandates by aligning algorithmic outputs with FCA Consumer Duty and SM&CR accountability. This requires a formal AI Governance Framework that includes model explainability reports, human-in-the-loop protocols for high-stakes decisions, and continuous bias monitoring to prevent regulatory breaches and consumer harm."
Why Choose Formiti: The Power of the Tri-Team Success Model
In 2026, AI governance is too complex for a single DPO or a "check-box" software tool. We provide a multi-disciplinary infrastructure designed specifically for the unique demands of the UK financial sector.
The "Tri-Team" Department Advantage
The Problem: A single DPO or a software portal cannot provide the real-time technical and legal oversight required for autonomous "Agentic AI" systems.
The Formiti Solution: We replace the "Lone Wolf" consultant with an entire Global Privacy Department. Your account is steered by three specialized teams—Legal (The Shield), Privacy (The Architects), and Operations (The Engine)—ensuring every AI model is technically sound and legally defensible.
Conflict-Free Liability Shielding
The Problem: GDPR Article 38 and SM&CR standards require DPOs to act independently. Assigning the role to an internal IT lead or Risk Manager creates a "Conflict of Interest" that regulators often flag.
The Formiti Solution: As an external partner, we provide impartial, unbiased oversight that satisfies the FCA and PRA. We operate under a strict SLA and carry comprehensive Professional Indemnity Insurance, providing a contractual "Liability Shield" that internal hires cannot offer.
Global Reach, Birmingham Authority
The Problem: Global giants often miss the nuances of UK-specific mandates like the UK Data Use and Access Act 2025 or the Silicon Canal fintech ecosystem.
The Formiti Solution: We combine 120-country jurisdictional expertise with a physical presence in St Paul's Square, Birmingham. We bridge the gap between global AI strategy and local UK enforcement, providing face-to-face board-level guidance from the heart of the UK's financial tech hub.
Zero-Gap" 120-Jurisdiction Coverage
The Problem: Financial services are borderless, but AI laws are fragmented across the EU (AI Act), Saudi Arabia (PDPL), and the US (State-level mandates).
The Formiti Solution: We manage your compliance across 120+ jurisdictions simultaneously. Whether your AI is processing data in Singapore or London, we ensure "Zero-Gap" coverage so that your international expansion never triggers a cross-border regulatory block.
Evidence-Based Accountability (Not Just Advice)
The Problem: Most consultancies provide "Recommendations" that leave your IT team to do the heavy lifting of implementation.
The Formiti Solution: We don't just point out gaps; we close them. Our Operational Tier manages the technical remediation—from mapping AI data flows to configuring Consent Mode v2—providing the "Evidence-Based Accountability" logs that auditors require in 2026.
Future-Proofed "Agentic AI" Oversight.
The Problem: 2026 has seen the rise of autonomous AI agents that act on behalf of banks. Standard SEO-driven policies don't cover the risks of autonomous fund transfers or algorithmic herding.
The Formiti Solution: We specialize in Emerging Tech Governance. Our frameworks are built for the 2026 rlity of Agentic AI and Quantum-Resilient Privacy, ensuring your firm isn't just compliant with today's laws, but resilient against tomorrow's technical threats
The Service Pillar: Algorithmic Trust & Financial Governance
This isn't just a compliance checklist; it's a managed accountability ecosystem. We provide three distinct layers of protection that bridge the gap between "innovative automation" and "regulatory safety."
1. The Model Audit (The "Shield")
- The Goal: To move your firm from "Black Box" algorithms to FCA-ready explainability.
- Regulatory Alignment: We audit your AI deployments against SYSC 15A (Operational Resilience) and the 2026 Model Risk Management (MRM) principles. We ensure your AI remains within strict "impact tolerances" during periods of market volatility.
- How Formiti Helps: We conduct a "Logic-Trace" Audit that documents exactly how your models reach financial decisions. This provides your Board with the "meaningful information" required under UK GDPR Articles 13-14 to satisfy regulatory inquiries.
2. The Consumer Protection (The "Gatekeeper")
- The Goal: To ensure every automated output is "Consumer Duty-Safe."
- Consumer Duty 2026 Alignment: With the FCA's shift toward "Outcomes Monitoring," firms are now responsible for proving that AI-driven credit scoring, pricing, and advice do not result in "foreseeable harm" or systemic bias.
- How Formiti Helps: We act as your clinical "Gatekeeper," stress-testing your AI against the Equality Act 2010 and the FCA's Fairness Principles. We ensure your systems don't just "calculate," but actively protect vulnerable customers from digital exclusion.
3. The Senior Accountability (The "Guidance")
- The Goal: To empower your SM&CR Senior Managers with defensible oversight.
- SM&CR 2026 Alignment: Current 2026 mandates dictate that "Delegating to an algorithm does not dilute liability." Senior Managers are now personally accountable for the outcomes of the AI tools they oversee.
- How Formiti Helps: We provide the "Accountability Mapping" your Senior Managers need to sign off on AI projects with confidence. We establish the Human-in-the-Loop protocols and audit trails that prove "Reasonable Steps" were taken to prevent algorithmic failure.
Financial Governance FAQ
Q: How does the "Senior Manager" role change for AI in 2026?
A: There is no dedicated "AI Officer" role under SM&CR. Instead, the FCA expects AI accountability to sit within existing functions. Formiti helps you map these "Prescribed Responsibilities," ensuring that your Chief Risk Officer or Head of Compliance has the technical reporting needed to fulfill their statutory duty.
Q: Is "Explainability" now a mandatory requirement for AI credit scoring?
A: Yes. Under the UK Data Use and Access Act 2025 and FCA Transparency Principles, firms must be able to explain the "logic" behind automated decisions. We provide the Model Documentation Frameworks that turn complex AI outputs into plain-English reports for customers and regulators.
Q: What is the "Agentic AI" risk for 2026?
A: Agentic AI (AI that executes trades or moves funds autonomously) is a top FCA priority. Formiti conducts "Kill-Switch" Audits to ensure that autonomous agents have hard-coded boundaries and manual overrides, preventing "herding behavior" or flash-crash scenarios in your infrastructure.
Q: How do we prove "Fair Value" in AI-priced products?
A: The FCA expects data-driven proof that AI-determined premiums or interest rates provide Fair Value to all segments. Formiti's Price-and-Value Audits use synthetic datasets to verify that your AI isn't "optimizing" profit at the expense of fairness for vulnerable groups.
The Formiti Tri-Team Success Model
Managed Accountability Through Multi-Disciplinary Excellence AI governance and financial privacy are too complex for a single consultant. We provide a Global Privacy Department structure that operates in total synchronization, ensuring that legal, technical, and operational risks are managed simultaneously, 24/7.
The Privacy Team (The Architects)
"Translating Regulatory Complexity into Technical Workflows" The Privacy Team provides the technical foundation for your AI and data framework. They are the "boots on the ground" who ensure that privacy is built into your code and your culture, not just your paperwork.
- Role: Conducting Data Protection Impact Assessments (DPIAs), automated data mapping, and "Privacy by Design" technical reviews.
- Value: They turn abstract laws (like the EU AI Act) into a concrete inventory of your data assets and risk registers.
The Legal Team (The Shield)
Air-Tight Regulatory Defense and Jurisdictional Certainty" Our legal experts ensure that every automated process meets the strict requirements of UK and international law. They protect your firm from the twin threats of regulatory fines and professional litigation.
Role: Drafting Article 27 agreements, refining privacy policies, and ensuring cross-border transfer mechanisms (SCCs) are audit-ready.
Value: They provide the "Legal Shield" that ensures your Terms of Service and Liability Clauses are resilient against 2026 enforcement waves.
The Operations Team (The Engine)
"Turning Policy into Practice with Seamless Integration" Compliance is only as good as its execution. The Operations Team manages the "how," ensuring that governance projects integrate seamlessly with your existing financial business processes.
Role: Project management, timeline tracking, resource allocation, and internal staff training.
Value: They act as the "Implementation Engine," ensuring that your compliance roadmap is delivered on time and that your internal staff are empowered to maintain it.
The Formiti "Rapid Response" Guarantee
Q: How does Formiti handle a financial AI failure or data breach?
A: Our Tri-Team Model ensures a multi-threaded response within hours. Our Legal Team manages FCA/ICO notifications, our Privacy Team stopping the technical leak, and our Operations Team handling stakeholder transparency—ensuring your reputation and your balance sheet are protected 24/7.
How the Tri-Team Beats the "Solo DPO"
Q: Why is a three-team model necessary for UK Financial Services?
A: Under the Senior Managers Regime (SM&CR) and Consumer Duty, a "check-box" approach is no longer defensible. A single DPO cannot be a specialist in software architecture, international litigation, and project management simultaneously. Formiti's Tri-Team model provides the depth of expertise required to defend a firm's actions during a formal FCA or ICO audit.
Is the Formiti AI Governance Framework Right for Your Organisation?
AI governance is no longer a "luxury" for Tier 1 banks. If your organisation uses data to automate decisions, you are likely within the 2026 regulatory perimeter. Use the checklist below to determine your current risk level.
The "Mandatory Compliance" Checklist
If you tick two or more of these boxes, a formal AI Governance Framework is a statutory necessity to satisfy FCA Consumer Duty and SM&CR requirements:
[ ] Automated Consumer Decisions: Do you use AI for credit scoring, insurance pricing, or mortgage affordability?
[ ] Agentic AI Usage: Do you deploy autonomous AI agents for trading, fund movement, or front-end customer orchestration?
[ ] Third-Party Dependency: Do you rely on "Critical Third Parties" (e.g., OpenAI, Microsoft Copilot, or specialized Fintech APIs) for core business functions?
[ ] High-Stakes Data Processing: Does your AI process "Special Category" data or identify "Vulnerable Customers" for tailored support?
[ ] Cross-Border Scaling: Do you operate in the EU or Middle East, requiring alignment with the EU AI Act or Saudi PDPL?
Who We Support: Tailored Governance for Every Tier
1. The Emerging Fintech (The "Innovator")
The Profile: High-growth startups using Generative AI to disrupt traditional banking or payments.
The Need: You need to move fast without "breaking" regulations. We provide "Compliance-in-a-Box"—lightweight but robust frameworks that make you "Due Diligence Ready" for Series B/C investors.
2. The Asset Manager & Insurer (The "Risk-Mitigator")
The Profile: Firms moving from back-office pilots to front-end AI-driven portfolios or claims processing.
The Need: You are under intense scrutiny regarding Algorithmic Bias and Operational Resilience. We provide deep-dive Model Risk Management (MRM) audits that protect your Senior Managers from personal liability.
3. The Tier 1 Institution (The "Infrastructure Leader")
The Profile: Complex organisations with legacy systems and hundreds of siloed AI "Shadow IT" projects.
The Need: You need a Centralised Governance Hub. We implement the enterprise-wide visibility and "Kill-Switch" protocols required by the 2026 UK Treasury Critical Third Party mandates.
Compliance Q&A
Q: We only use "Off-the-Shelf" AI (like Copilot). Do we still need a policy?
A: Yes. In 2026, the FCA and ICO hold you responsible for the data your staff input into third-party tools. Without a policy, you have no defense against "Data Leakage" or "Shadow AI" breaches. We provide the Acceptable Use Policies (AUP) specifically for financial employees.
Q: We have a GDPR policy—isn't that enough?
A: No. GDPR covers data; AI Governance covers logic. Standard privacy policies don't address Model Drift, Hallucinations, or Algorithmic Fairness. Formiti bridges this gap by adding an "AI Layer" to your existing data protection.
4 SIMPLE STEPS
Your 120-Day Roadmap to AI Accountability
01: The AI-BOM Discovery (Days 1–30)
The Action: We build your AI Bill of Materials (AI-BOM). This is a comprehensive machine-readable inventory of every AI model, third-party API (like ChatGPT or Copilot), and automated decision-tool currently used in your firm.
The Result: Total visibility. We identify "Shadow AI" and classify every tool into Risk Tiers (Prohibited, High-Risk, or Limited) based on ISO/IEC 42001 standards.
02: The Gap & Liability Audit (Days 31–60)
The Action: Our Tri-Team conducts a deep-dive audit. The Legal Team reviews your Article 27 status; the Privacy Team conducts Data Protection Impact Assessments (DPIAs); and the Operations Team maps your SM&CR accountability.
The Result: A "Zero-Gap" report. You receive a prioritized list of legal and technical vulnerabilities that need to be closed to meet FCA Consumer Duty expectations.
03. Framework Integration (Days 61–90)
The Action: We deploy your customized Financial AI Policy. We establish your "Human-in-the-Loop" protocols, install "Kill-Switch" overrides for autonomous agents, and integrate our Accountability Logs into your existing risk workflows.
The Result: A functional governance ecosystem. Your Senior Managers now have the auditable data they need to sign off on AI projects with personal liability protection.
04.Continuous Oversight (Day 91+)
The Action: Formiti becomes your Officially Named DPO and AI Monitor. We conduct quarterly bias-testing, monitor for "Model Drift," and provide 24/7 incident response for any AI-driven data breaches or regulatory inquiries.
The Result: Permanent resilience. You stay ahead of the UK Data Use and Access Act 2025 updates, ensuring your innovation never outpaces your compliance.
Onboarding
Q: How long does it take to become "Audit-Ready" with Formiti?
A: Most UK financial firms reach a baseline of "Defensible Compliance" within 60 days. By day 120, our full Tri-Team Success Model is operational, providing the continuous monitoring and evidence-logs required for a formal FCA or ICO inspection.
OUR OFFICES
UK Office
Birmingham, B3 1RB, United Kingdom
Ireland Office
Thailand Office
CONTACT US
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