Chancellor Rachel Reeves is set to launch a City 'skills compact' that commits major financial firms to retraining thousands of workers to keep pace with rapid advances in artificial intelligence.
Key facts
- Reeves will announce a financial services 'skills compact' on Tuesday.
- Firms including Barclays and Lloyds are committed to retraining thousands of workers.
- The launch comes during what is likely to be Reeves's final Mansion House speech.
- The initiative responds to fears of mass redundancies driven by technological change.
Chancellor Rachel Reeves is to announce a new City “skills compact” that will commit major financial firms to retraining thousands of workers for the artificial intelligence revolution, according to the Guardian.
The financial services skills compact will be launched on Tuesday. The Guardian reports it will come during what is likely to be Reeves’s final Mansion House speech to City bosses, ahead of Andy Burnham’s expected takeover of No 10.
The government-backed initiative will commit employers to improving workers’ skills and helping them “keep pace” with significant technological changes, the Guardian reports.
Firms such as Barclays and Lloyds are named among those committed to the retraining effort, which is aimed at improving the skills of thousands of financial sector workers.
The plan responds to concerns raised by the pace of the technology revolution, which the Guardian says has prompted fears of mass redundancies across the sector.
According to the Guardian, the compact is intended to help the financial workforce adapt as AI reshapes roles across banking and financial services.
Why it matters
AI is expected to reshape large parts of the financial services workforce, raising fears of job losses. A government-backed retraining commitment from major banks signals an effort to help workers adapt rather than be displaced.
Frequently asked questions
When will the skills compact be launched?
According to the Guardian, the financial services skills compact will be launched on Tuesday during Reeves's Mansion House speech.
Which firms are involved?
The Guardian reports that firms including Barclays and Lloyds will be committed to retraining thousands of workers under the compact.
Why is the compact being introduced?
It is intended to help financial sector workers keep pace with significant technological changes, amid fears of mass redundancies driven by the AI revolution, according to the Guardian.