The Bank of England and the International Monetary Fund (IMF), two of the world’s most influential financial authorities, have cautioned that a growing wave of cyber-attacks could erode public confidence in the financial system itself.

According to The Guardian, the warning came during a panel on online fraud held at the IMF and World Bank meetings in Bangkok. Bank of England governor Andrew Bailey cited recent troubling reports, including self-replicating AI agents taking control of personal devices and a hack on French supermarkets that pushed fridge temperatures to 50C.

He argued that the AI debate ultimately centres on maintaining human oversight so that people can continue to rely on technology.

IMF managing director Kristalina Georgieva shared his concerns, suggesting the mounting cost of cyber-fraud could drive people away from mainstream finance entirely. She drew on her upbringing in Bulgaria behind the iron curtain, where distrust of institutions led people to hoard cash at home, and said those on the margins of the financial system faced the greatest danger.

Her remarks came shortly after the IMF revealed on Tuesday that it had lifted its global financial stability threat level to “elevated”. The fund pointed to the prospect of a major cyber-attack as a contributing factor, together with rising borrowing costs and the possibility of an AI-driven collapse in share prices.

Bailey also highlighted that fraudsters increasingly operate through social media and apps rather than conventional banking routes.

He compared the position of these platforms with UK newspapers, which carry legal accountability for their content, and called on technology firms to accept a share of the burden.

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