Vixio has published a new report examining how far compliance functions are actually willing to trust artificial intelligence with regulatory judgement calls.
The study, titled The State of AI Trust in Regulatory Compliance 2026, draws on qualitative interviews with compliance, legal and risk executives working across payment providers, retail banks and gambling operators.
It finds that although 53% of the compliance teams interviewed already use AI for foundational regulatory change management work, such as monitoring updates, assessing their impact and implementing resulting changes, most still refuse to let AI take the final step. Executives distinguish sharply between using AI to conduct preliminary horizon scanning and trusting it to produce defensible, audit-ready regulatory conclusions.
The report identifies several other pressure points. Some 65% of compliance leaders said they distrust generic, open-web AI tools when it comes to regulatory decision-making, while 59% named hallucinations and false confidence as their leading concern, warning that models presenting incorrect regulatory interpretations with unwarranted certainty create genuine audit exposure.
In response, 56% of teams now impose a mandatory human checkpoint before acting on any AI output, positioning the technology as a research aid rather than a decision-maker, with final interpretation left to experienced professionals.
According to the report, four conditions must be met before AI can be trusted with substantive compliance work: the use of verified data, direct linkage to original sources, built-in human review, and comprehensive activity logging. Together, these form what Vixio describes as the foundations of institutional AI trust in regulated industries.
Vixio positions itself as a leading name in regulatory change management, building tools designed to help compliance, legal and risk teams across financial services track and respond to shifting regulatory requirements.
Vixio executive chair and CEO Christian Erlandson said, “This report makes one thing clear: in regulated industries, speed without trust is a risk no company can afford. Compliance leaders shouldn’t have to choose between AI efficiency and defensible accuracy. This research names the trust gap at the heart of the market, and at Vixio we’re evolving our platform in lockstep with our clients to turn regulatory ambiguity into trust, so compliance can say yes with confidence.”
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Copyright © 2026 RegTech Analyst
Copyright © 2026 RegTech Analyst
