Bank of England explores AI ‘kill switches’ for markets

The Bank of England is exploring whether emergency ‘kill switches’ could halt trading activity if autonomous AI systems begin behaving unpredictably, reflecting growing concern that existing market safeguards may not be suited to AI-driven trading.

Deputy Governor Sarah Breeden said regulatory frameworks must evolve as AI systems become capable of autonomously chaining actions and executing trading strategies. Speaking at the European Central Bank’s Sintra Forum, she warned that relying solely on human oversight may no longer be sufficient as financial markets become increasingly automated.

Regulators are particularly concerned about systemic risks, including AI models amplifying market volatility, exhibiting coordinated behaviour or pursuing objectives that diverge from their intended design. They also warned that AI could strengthen cyber defences while simultaneously making it easier to discover and exploit vulnerabilities at scale.

Breeden said the Bank is also exploring resilience measures such as simulation testing, stronger recovery mechanisms and potential cross-institution support during market disruptions. She added that international coordination will be essential as increasingly autonomous AI systems become embedded in global financial markets.

Why does it matter? 

The Bank of England’s proposals reflect a growing recognition that autonomous AI systems could introduce systemic risks that existing market safeguards were not designed to address. Traditional mechanisms such as circuit breakers assume markets are ultimately driven by human decisions, whereas AI agents may react to changing conditions at machine speed and in highly coordinated ways.

The discussion also illustrates how financial regulators are shifting from studying AI risks to preparing practical resilience measures. Tools such as simulation testing, emergency trading controls and international coordination could become increasingly important as AI takes on a larger role in trading, payments and other core financial market functions.

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AI for Good Global Commission launches to expand trusted AI access

Rwanda’s President Paul Kagame, Salesforce Chair and CEO Marc Benioff and International Telecommunication Union Secretary-General Doreen Bogdan-Martin have announced the launch of the AI for Good Global Commission.

The Commission brings together more than 40 founding members, including heads of state and government, technology executives and heads of UN agencies.

It is co-chaired by Kagame and Benioff, with Bogdan-Martin serving as vice-chair. ITU said the Commission will work to identify practical pathways to strengthen trust, expand access and unlock AI’s potential to address real-world challenges.

The initiative will focus on technical, socioeconomic and policy questions around AI, with an emphasis on responsible innovation, human capability and broad-based economic and social benefits.

Access is a central part of the Commission’s mandate. ITU said 2.2 billion people remain offline, limiting their ability to benefit from AI developments.

The Commission builds on ITU/UNESCO Broadband Commission for Sustainable Development, which has focused on connectivity, digital inclusion and economic development.

Its inaugural meeting will take place during the AI for Good Global Summit 2026 from 7 to 10 July. The Summit is part of Digital Week, which also includes the first UN-mandated Global Dialogue on AI Governance and the WSIS Forum 2026.

Why does it matter?

The AI for Good Global Commission places digital inclusion at the centre of global AI governance debates. Its launch highlights a key challenge: many countries and communities cannot benefit from AI if they lack connectivity, infrastructure, skills and institutional capacity. The Commission’s relevance will depend on whether it can move beyond high-level commitments and help turn access, trust and responsible innovation into practical support for developing countries.

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Pew survey finds majority support social media ban for under-16s

A Pew Research Center survey has found that 56% of US adults support banning children under 16 from using social media sites.

The survey, conducted from 26 May to 1 June 2026 among 9,750 US adults, found that 21% oppose such a ban, while 23% are unsure.

Pew said the findings come as governments around the world weigh stronger restrictions on teenagers’ use of social media.

Support for an under-16 ban extends across major demographic and partisan groups. Pew found that 65% of parents with a child under 18 support the measure, compared with 52% of adults without a child under 18.

Support is also higher than opposition among both Republicans and Democrats. Pew reported that 59% of Republicans and Republican-leaning independents support the ban, compared with 54% of Democrats and Democratic-leaning adults.

The survey also found broad support for other measures aimed at minors’ social media use. Around 85% of US adults support requiring parental consent for minors to create social media accounts, while 78% support age verification and 78% support time limits for minors.

Support for these measures has increased since 2023, according to Pew, especially for age verification and time limits.

Why does it matter?

The findings suggest that child online safety restrictions are gaining wider public support in the United States, including across party lines and among adults without children. That could give lawmakers more political space to propose age verification, parental consent and time-limit rules. The survey also shows that support is not limited to outright bans: many Americans favour a broader set of safeguards that would change how platforms verify age and manage minors’ access.

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EU examines harmful design features in online platforms

The second annual report on systemic risks under the Digital Services Act has highlighted online risks faced by children and young people on very large online platforms and search engines.

The report was published by the Board for Digital Services and developed in cooperation with the European Commission. It provides an overview of recurrent systemic risks in the EU for very large online platforms and search engines.

Risks identified in the report include the spread of illegal content, cyberbullying, grooming and exposure to harmful material such as dangerous viral challenges and adult content.

The report also points to the role of platform design. Interface features and recommender systems can contribute to addiction-like behaviour, increase exposure to harmful content and intensify harmful interactions between users.

Platforms have introduced mitigation measures, including targeted protection tools, content moderation systems and user empowerment features.

The Commission said the report reinforces the role of the DSA as a transparency and accountability tool for understanding how online platforms function and shape risks in society.

The findings will support regulators, civil society, and platforms as the EU continues to monitor DSA implementation and efforts to create a safer online environment for minors.

Why does it matter?

The report shows that the EU platform regulation is moving beyond illegal-content takedown towards a broader assessment of systemic risks created by platform design. For children and young people, recommender systems, interface choices and engagement-driven features can shape exposure to harmful content and unsafe interactions at scale. The DSA reporting process, therefore, provides regulators and civil society with a clearer evidence base for assessing whether very large platforms are doing enough to protect minors.

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Intesa Sanpaolo moves core IT systems to Google Cloud in Italy

Intesa Sanpaolo has completed the migration of core IT systems to Google Cloud’s Italian regions, hosted in TIM data centres in Milan and Turin.

The Italian banking group said the project is one of the largest cloud migrations carried out by a European financial institution. It forms part of a broader digital transformation effort with Google Cloud and TIM.

The migration involved more than 800 business applications and the retirement of a similar number of legacy systems previously hosted on the bank’s own infrastructure.

According to the partners, the transition was completed while maintaining operational continuity for the bank’s services.

Google Cloud provided cloud infrastructure and data capabilities, while TIM hosted the Italian cloud regions and supported data centre services, connectivity and project governance.

Intesa Sanpaolo said the migration strengthens its cloud-first strategy and provides the technological foundation for Isytech, its cloud-native digital platform for customers and employees across the group.

The bank also linked the project to workforce transformation. More than 3,000 employees participated in cloud training programmes, earning more than 170 Google Cloud certifications.

The project is intended to support advanced analytics, AI adoption and future digital banking services while keeping workloads in Google Cloud’s Italian regions.

Why does it matter?

The migration shows how major European banks are modernising legacy IT infrastructure to support AI, analytics and digital financial services. Moving core systems to cloud environments can improve scalability and accelerate new services, but it also raises important questions about resilience, cybersecurity, data governance and regulatory compliance. The use of Italian cloud regions hosted in TIM data centres reflects the growing importance of data residency and trusted infrastructure in regulated financial services.

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India and Japan expand strategic AI partnership

India and Japan have agreed to deepen cooperation on AI, linking AI governance, cybersecurity, infrastructure, research and talent development.

In a joint statement, the two countries described AI as a transformative technology with long-term implications for innovation, economic security, governance and the international order.

Both sides are committed to building a safe, secure, trustworthy, inclusive and human-centric AI ecosystem. They also agreed to strengthen cooperation with partners in the Indo-Pacific and the Global South.

The statement identifies international AI governance, safety and cybersecurity as priority areas. India and Japan said they would coordinate in forums including the G20, OECD, Global Partnership on AI and the UN, while supporting responsible innovation and risk-based governance.

The two countries also agreed to cooperate on AI-enabled cybersecurity and the security of AI systems, with particular attention to critical infrastructure. They highlighted the need for safeguards to ensure AI supports children’s learning and growth rather than causing harm.

AI infrastructure is another focus. India and Japan will strengthen cooperation on data centres, GPU and other compute resources, semiconductors and trustworthy supply chains across the AI technology stack.

The statement also supports collaboration on multilingual, open-source and domain-specific AI models, including models for native languages and public-interest applications. Several memoranda were signed, including partnerships involving IIT Bombay, BharatGen, Japan’s National Institute of Informatics, Sarvam, Preferred Networks, IndiaAI and Japan’s Ministry of Economy, Trade and Industry.

Both sides also committed to researcher exchanges, industry-academia collaboration and talent mobility. Japan reaffirmed its goal of welcoming 500 highly skilled AI professionals from India by 2030.

Why does it matter?

The joint statement shows how AI cooperation is becoming part of broader economic and security strategies in the Indo-Pacific. India and Japan are not only discussing AI governance, but also the infrastructure and supply chains needed to build and deploy AI systems, including compute, semiconductors, data centres and talent. The focus on multilingual and open-source models also matters for countries seeking AI systems that reflect local languages, public-interest needs and Global South priorities.

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Council of the EU backs interim rules on online child abuse detection

The Council of the European Union has adopted its position on interim legislation that would restore a legal basis for online service providers to voluntarily detect, report and remove child sexual abuse material (CSAM) from their platforms.

The proposal aims to restore legal certainty after the previous temporary framework expired on 3 April 2026, while negotiations continue on a permanent EU regulation to combat online child sexual abuse.

The interim regulation introduces a limited derogation from the EU’s electronic communications privacy rules, allowing online platforms to voluntarily detect child sexual abuse material and report suspected offences to law enforcement authorities.

According to the Council, these voluntary measures are essential for identifying children at risk, supporting criminal investigations, prosecuting offenders and reducing the circulation of child sexual abuse material online.

The Council proposes extending the temporary framework until 3 April 2028 to avoid a prolonged legal gap while negotiations continue on the long-term Child Sexual Abuse Regulation.

Irish Minister for Justice, Home Affairs and Migration Jim O’Callaghan said restoring providers’ ability to detect online child sexual abuse is essential to protecting victims and bringing offenders to justice. The proposal will now move to the European Parliament for a second reading, where MEPs may approve, amend or reject the Council’s position.

If adopted, the measure would restore the legal basis for voluntary detection activities while policymakers continue negotiations on a permanent framework governing the detection of child sexual abuse material across digital services in the European Union.

Why does it matter?

The proposal addresses a legal gap that emerged after the previous temporary framework expired, creating uncertainty for online platforms that voluntarily detect and report child sexual abuse material. Restoring a clear legal basis would allow providers to continue supporting law enforcement while longer-term legislation is negotiated.

The debate also reflects the EU’s continuing effort to balance child protection with privacy and fundamental rights. While the interim proposal focuses on voluntary detection, negotiations on a permanent framework are expected to continue raising questions about the appropriate balance between online safety, privacy and the responsibilities of digital platforms.

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Microsoft Defender adds protection for local AI agents

Microsoft has announced new Defender capabilities designed to help organisations secure local AI agents and Model Context Protocol servers across enterprise environments.

The company said Microsoft Defender can now discover more than 25 types of local AI agents and MCP servers across managed Windows and macOS devices.

Microsoft said the feature also provides runtime protection when developers use coding agents such as GitHub Copilot CLI or Claude Code. According to the company, Defender can detect and block prompt injection attempts before a malicious action is executed.

Security teams can investigate AI agent exposure through Advanced Hunting. Microsoft said the local AI agent capabilities are currently in preview.

The update reflects a broader shift in enterprise security as organisations deploy AI agents, coding tools and MCP servers inside development and productivity workflows.

Microsoft also announced Codename MDASH, a private-preview multi-model agentic scanning system designed to discover, validate and help remediate software vulnerabilities. The company said MDASH can route validated issues into Microsoft Defender workflows and engineering pipelines.

Other June security updates include Microsoft Entra Backup and Recovery, expanded multicloud coverage in Defender for Cloud, new database threat protection for open-source relational databases on AWS RDS, Microsoft Purview customisable reports and a unified identity risk score.

Why does it matter?

AI agents are becoming part of enterprise infrastructure, which means they also become part of the attack surface. Local coding agents, MCP servers and agentic development tools can interact with files, code, credentials and internal systems. Microsoft’s update shows end point security expanding beyond traditional malware detection towards prompt injection, agent exposure and AI-driven development workflows. It also reflects a wider trend: security teams will need visibility and controls for AI systems deployed inside organisations, not only for cloud-hosted models.

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Europol Roblox game wins EU award for online child safety

Europol’s Cyber Defenders initiative has won the 2026 European Ombudsman Award for Good Administration.

The free educational game, built on Roblox, is designed to help children recognise online risks and develop safer behaviour in digital environments.

Cyber Defenders received the overall award, selected from 48 nominations submitted by the EU institutions, bodies and agencies. It also won the Excellence in Technological Innovation and the Use of AI category award.

The game teaches children about risks such as fraud, identity theft and online grooming through interactive missions rather than traditional awareness campaigns.

Europol says the project was developed to reach children in online gaming environments they already use, while making them more comfortable asking for help when they encounter risks.

The agency has also published supporting resources for teachers, parents and schools, including a game guide, lesson assessment, poster and letter to parents.

The award follows earlier recognition of Europol digital initiatives, including Trace An Object, which uses public participation to help identify victims of child sexual abuse.

Why does it matter?

Cyber Defenders shows how law enforcement agencies are experimenting with interactive tools to improve children’s digital safety skills. Game-based learning can make online safety more relevant for younger users, especially in gaming environments where risks such as grooming, scams and identity theft may appear. The award also reflects broader recognition that digital literacy and prevention are part of child online safety, alongside regulation, enforcement and platform accountability.

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IWF warns under-16 social media ban is not enough to stop online abuse

The Internet Watch Foundation (IWF) has welcomed the UK government’s decision to restrict social media access for under-16s but argues that the measure alone will not significantly reduce online child sexual exploitation and abuse.

In a new blog, IWF Chief Executive Kerry Smith describes the proposed ban as a major policy milestone while warning that it must be accompanied by broader reforms if it is to deliver lasting improvements in children’s online safety.

According to the IWF, children continue to face a rapidly evolving range of online threats, including grooming, financial sextortion, commercial child sexual abuse and the growing exploitation of young people across digital platforms.

While limiting access to social media may reduce exposure to some risks, the organisation argues that determined offenders will continue to exploit encrypted messaging services, gaming platforms and other online environments if wider safeguards are not introduced.

The charity therefore calls for a more comprehensive regulatory approach centred on safety by design. Its recommendations include stronger safeguards for end-to-end encrypted services, tougher enforcement of the UK’s Online Safety Act, greater accountability for technology companies, and platform design that prevents harmful products and features from reaching users before risks are identified.

The IWF also highlights the need to regulate emerging technologies such as AI chatbots and strengthen device-level protections for children.

Why does it matter?

The IWF’s position reflects a growing international consensus that age restrictions alone cannot address the complex ecosystem of online child exploitation. As abuse increasingly migrates across encrypted services, gaming platforms and AI-powered technologies, policymakers are being encouraged to adopt broader regulatory frameworks that target platform design as well as user access.

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