Generative AI with human oversight could transform debt advice sector

A new study released by Money Advice Liaison Group (MALG) and AI firm Wyser has outlined how generative AI could reshape the UK’s regulated debt advice landscape, if deployed with precision, humility and human oversight.

The new research funded by the Money & Pensions Service (MaPS) highlighted the deep structural complexities, widespread vulnerability and a public trust gap that means self‑serve AI cannot simply be ‘switched on’ without robust safeguards.

The Safe-Use Framework encompasses a three-level Debt Advice AI Roadmap, giving the sector a shared vocabulary for both current applications and future developments. This could also be used by regulators to develop proportionate guidance that supports innovation while maintaining consumer protection.

Mark Pearce, CEO and Founder of Wyser, said “What this research makes clear is that the debt advice sector’s expertise must drive how Gen AI tools are built, not the other way round. AI can help, but only if we focus first on where it adds genuine value: cutting the admin that consumes adviser time and extending reach through carefully designed self-serve tools for the right clients at the right moments.
“It’s been a pleasure to collaborate with MALG and the wider debt advice sector on this project. The resources we’ve created aim to help organisations navigate the fast‑moving AI landscape without compromising client safety or advice quality. We see this as the starting point, not the finish line, and we are keen to support organisations in taking the next steps from evidence into implementation.”

Peg Alexander, CEO, Money Advice Liaison Group (MALG), said “We’re proud to have led on this ground-breaking piece of research, which is hopefully just the beginning of a longer-term project to ensure that the debt advice sector can keep pace with the rapidly evolving world of Generative AI while maintaining the principles on which it is built.

“Many organisations are operating with sustained pressure from rising demand and complexity but the sector’s structural challenges, the prevalence of deficit budgets, decreasing funding of free advice services, the administrative burden of regulatory compliance and the attrition of experienced advisers, cannot be solved by technology alone. We’re committed to leading on a collaborative way forward, working with stakeholders across the whole debt landscape.”

Anna Hall, Corporate Director for Debt Advice, Money and Pensions Service, said “Through the Debt Advice Transformation Fund, we’re looking to support the sector to adapt, improve and respond to emerging challenges by testing ideas, building evidence and developing shared understanding.

“What made MALG’s proposal stand out was that it didn’t start with a solution; it started with practice reality, with the aim of helping the sector move forward thoughtfully and not just reactively. It has given us a shared evidence-based understanding of what the safe and appropriate use of AI actually looks like in a regulated debt advice environment, laying the foundations for future development across this sector.”