The UK Financial Conduct Authority (FCA) has published a research note examining the potential applications of quantum computing within UK financial services, and exploring how firms can prepare for their emergence. Points of particular interest include: (i) the UK is well-positioned to benefit from quantum computing in financial services, but coordinated action across industry, government, academia and regulators is required to realise this potential; (ii) leading firms are already building quantum readiness strategies, focusing on optimisation, machine learning and stochastic modelling through hybrid quantum classical methods; (iii) regulatory change is not immediately required, though future quantum applications may intersect with existing themes of explainability and operational resilience which are already central in regulatory frameworks (iv) regulatory awareness among quantum computing vendors remains limited, presenting an opportunity to build early relationships with regulators, which can help provide technical and regulatory clarity; and (v) regulators could evolve existing innovation tools to better support quantum development, including sandboxes, which could be expanded to offer firms safe environments for experimentation.
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