 Metarules, Judgment and the Algorithmic Future of Financial Regulation in the UKAndromachi Georgosouli Oxford Journal of Legal Studies, 2023, vol. 43, issue 4, 777-803 Abstract: UK financial regulators are experimenting with the conversion of rulebook content into machine-readable and executable code. A major driver of these initiatives is the belief that the use of algorithms will eliminate the need for human interpretation as a deliberative process, and that this would be a welcome development because it will improve effectiveness while cutting time and costs for regulators and the industry alike. In this article, I set out to explain why human interpretation should be preserved and further harnessed if data-driven governance is to work at all. To support my thesis, I bring attention to the limited translatability of rulebook content into code, and to the difficulties for machines to engage with the full spectrum of tasks of analogical reasoning. I further contend that it would be desirable to preserve human interpretation on procedural grounds pertaining to the legitimacy of financial regulators. I conclude with recommendations about the future design of the financial rulebooks. Keywords: financial regulation; rules; digitalisation; algorithmic decision-making; legitimacy; governance; code (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:oup:oxjlsj:v:43:y:2023:i:4:p:777-803. Access Statistics for this article Oxford Journal of Legal Studies is currently edited by Liz Fisher, Stefan Enchelmaier, Andreas Televantos, Liora Lazarus and Jennifer Payne More articles in Oxford Journal of Legal Studies from Oxford University Press |
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