European fintech leaders argue that financial services are slow to adopt AI despite its potential to boost productivity and reduce costs. Job loss fears, regulatory issues, and institutional resistance hinder AI integration. While only 6% of retail banks are ready to implement AI at scale, it could add USD340bn yearly to the global banking sector. AI’s ability to rapidly analyze data could significantly cut costs, yet fears of job losses persist. Banks need to balance AI adoption with regulatory compliance and sensitive customer service. Successful examples include NatWest and Klarna, which use AI to handle customer service efficiently, saving millions in costs.