Financial Services Ireland (FSI) Calls for Dedicated Financial Services ‘AI Sandbox’ and New Savings Accounts to Future-Proof Competitiveness
Financial Services Ireland (FSI), the Ibec group representing the financial services sector, has tonight called on the Government and the Central Bank of Ireland to urgently establish a dedicated AI regulatory sandbox for the sector.
Speaking at the FSI Annual Dinner, FSI Chair and CEO of Irish Life Group, Declan Bolger, also urged policymakers to establish a public-private working group to deliver a new, simplified “Savings and Investment Account” for Irish consumers by 2027.
Addressing an audience of industry leaders, policymakers, and guest of honour Verena Ross, Chair of the European Securities and Markets Authority (ESMA), Mr. Bolger outlined a strategy to embed Ireland’s position as a leading global financial centre.
Accelerating AI Innovation
The sandbox concept trial would allow firms to trial innovative new financial services products under the supervision of the Central Bank of Ireland (CBI). A new CBI sandbox would equip participants with first-hand knowledge and insights that will help them deploy new products in line with regulatory requirements.
While acknowledging the success of the Central Bank’s existing Innovation Sandbox, Mr. Bolger highlighted the need for a specific environment to address the rapid evolution of Artificial Intelligence and the incoming EU AI Act.
“With the exponential speed of enhancements in AI, we believe we should move quickly to also establish an AI regulatory sandbox, as required under the EU AI Act before August 2026, but specific to financial services,” Mr. Bolger said.
“Many of our member companies believe that innovation is already constrained in the market by over-complicated compliance and data regulations. The implementation of the EU AI Act, although evolving, will introduce further complexity, making it even harder to innovate,” he continued.
FSI argues that a dedicated sandbox would allow organizations to build "AI Act ready" products in a safe space, fostering “responsible experimentation” and bolstering regulatory innovation.
“Being seen internationally as proactive in this space is key to ‘future proofing’ Ireland’s competitiveness in financial services,” Mr. Bolger added.
Driving the Savings and Investment Union
With Ireland set to assume the Presidency of the Council of the EU next July, FSI also identified the Savings and Investment Union (SIU) as a critical priority. To demonstrate leadership in this area, FSI is calling for the introduction of simplified, tax-efficient investment vehicles for Irish consumers. These new accounts would be designed to enable consumers to invest in capital markets in a more accessible, user-friendly way.
“If we want Ireland to be a model for SIU, then we must demonstrate how it can work in practice,” Mr. Bolger stated. “In particular, we must embrace the EU Commission’s proposal for simplified tax-efficient Savings and Investment Accounts to incentivise retail investment in funds and other long term investment vehicles”.
Mr. Bolger called on the Government to establish a public/private sector working group to design and deliver such an account by the end of 2026, with a target launch date of 2027.
“This has the potential to transform how citizens engage with capital markets and help them build more secure financial futures,” he said.
European Collaboration
Reinforcing the theme of collaboration, Keynote Speaker and ESMA Chair Verena Ross addressed the necessity of a unified approach to strengthening Europe's financial infrastructure.
Ms. Ross stated: “Our next step is to work together – at national and at EU level – both public sector and private sector – to build capital markets that are fit for the challenges ahead.”
Mr. Bolger concluded by emphasising that realising these ambitions requires "deep collaboration at a European level," making Ms. Ross’s presence particularly timely.
