Artificial intelligence is transforming the banking sector, offering the potential for significant cost savings but raising concerns over job losses. A joint Zopa–Juniper study projects £1.8 billion in savings by 2030, though at the cost of 27,000 jobs, primarily in customer service and back-office roles.
The greatest impact will be behind the scenes, with 82% of time saved—equivalent to 154 million hours annually—coming from automation of compliance, fraud detection, and risk management. These efficiencies are expected to cut costs by £923 million each year, while helping reduce human error and meet new fraud reimbursement regulations.
On the customer-facing side, banks are forecast to invest more than £1.1 billion into advanced chatbots and virtual assistants, enabling hyper-personalised services. These tools could save £540 million and free up 26 million staff hours annually. Portfolio management AI is also expected to enhance analysis and reporting capabilities without replacing financial advisors.
Yet the workforce impact is considerable: about 14,000 customer service jobs and 10,000 back-office positions are projected to be most at risk. The report notes, however, that affected workers could be retrained for emerging roles in AI governance, data strategy, and oversight. Zopa CTO Peter Donlon described the shift as “a once-in-a-generation chance to reimagine the workforce.”
The industry faces a growing divide: digital-first banks like Zopa, built around AI, are well positioned for growth, while traditional banks risk being left behind unless they adapt. Juniper’s Nick Maynard called generative AI a tipping point, posing risks for unprepared institutions but also offering the chance to reshape banking around efficiency, personalisation, and automation.
