We asked for your input on the challenges in accessing high quality data for innovation in financial services, including specific feedback on synthetic data.
In this Feedback Statement we set out the responses we received to the following areas:
- Data access and innovation
- Key themes for synthetic data – including its risks, benefits and generation techniques
- Synthetic data use cases and the requirements to meet these use cases
- The role of the regulator with regards to synthetic data
Who this is for
This Feedback Statement will be of interest to:
- FCA regulated firms
- Start-ups, RegTechs and FinTechs
- Technology and data firms
- Regulators and policy-making bodies
- Consumer groups
Why we wanted views on synthetic data
Our Digital Sandbox pilots and TechSprint programme showed firms face difficulties in accessing and sharing data in financial services, particularly new market entrants. To help resolve these, we have been looking at the potential for synthetic data to widen the scope of data sharing in a way that complies with privacy requirements.
In early 2023, we will host a joint industry-academic roundtable in partnership with the Alan Turing Institute and the Information Commissioner’s Office (ICO) to understand the challenges of validating synthetic data. We will publish a paper in the coming months outlining our key findings and next steps.
We are also setting up a Synthetic Data Expert Group. This group will create a framework for collaboration across industry, regulators, academia and wider civil society on issues related to synthetic data. Applications to join the group will open later in February and will be advertised on the FCA website. We will hold the first session in the spring.
In March 2022, we published a Call for Input, seeking feedback on the benefits and limits of synthetic data in resolving the challenges of data sharing. We also wanted to find out more about the use cases where synthetic data can provide benefits for innovation and get views on the role of the regulator in the provision of synthetic data.
The Call for Input forms part of a broader FCA work programme on synthetic data and Privacy Enhancing Technologies.