This article is written by Ella Niewenhuijsen, a WES 2025 student journalist and writer for The Boomerang.
AI is revolutionizing industries across the globe, accelerating productivity, efficiency, and even introducing new capabilities once thought impossible. It’s a transformative force, reshaping economies and redefining the way we work and interact. No wonder it was one of the hottest topics at this year’s Warwick Economics Summit. But, as the saying goes, with great power comes great responsibility, and AI is no exception. The technology presents immense possibilities but also substantial risks, especially when placed in the wrong hands with questionable intentions. Yet, much like past technological revolutions (or people flocking to the beach destinations as soon as summer hits), once it starts, there’s no stopping it. Instead of debating bans or restrictions, it’s time to focus on how we can harness AI wisely.
The Many Faces of AI
The versatility of AI makes it invaluable across numerous industries. At WES, many speakers emphasized its transformative potential, particularly in two areas people tend to care about most: their health and their money–basically, the same things they make a wish for every New Year's Eve (right after hoping they’ll actually stick to their resolutions this time). From making loan decisions in finance to assisting doctors in the medical field, AI is becoming integral to industries where efficiency and precision matter most.
AI in Finance: Smarter Decisions, Greater Risks?
Thorsten Beck, director of the Florence School of Banking and Finance, highlighted how AI is deeply embedded in the financial sector. Whether it’s managing bank accounts, tracking spending habits, or optimizing trading strategies, AI is playing a growing role in making financial decisions. One significant application? Deciding who gets a loan and who doesn’t.
Banks have historically enjoyed a privileged position, “sitting on top of very relevant data” that enabled them to assess creditworthiness. But AI is changing this. As Beck noted, Big tech companies now have access to significantly more data and “can apply AI to make decisions that before would have been taken on by banks with privileged information, but with less information than now”. This shift comes with both opportunities and risks. On one hand, AI can make more informed lending decisions by analyzing broader behavioral patterns rather than just traditional credit scores. On the other, the use of alternative data—like shopping habits or online behavior—raises ethical concerns.
For instance, Beck cited a case in Germany where a furniture company assessed a customer’s risk level based on their digital footprint and used this to estimate the likelihood of non-payment. He illustrated this with an example: people making impulsive late-night purchases—say, buying a fridge at 2 AM— were considered higher risk than someone who “carefully sits and then on Sunday morning at 10 AM” decides whether to make the purchase. So, if you suddenly buy a fridge at 2 AM, you may face a higher interest rate. The takeaway? Maybe think twice before indulging in those midnight shopping sprees.
Beyond lending, AI is also helping supervisors analyze complex financial data, enabling banks to make better decisions. After all, as Beck warns, “the human brain is just not capable of handling so many data at the same time,” making AI an essential tool—yet one that must be monitored to prevent unintended biases or market instabilities.
AI in Healthcare: A Doctor’s Sidekick
Another sector undergoing rapid AI-driven transformation is healthcare. Murray Ellender, CEO of eConsult and a practicing doctor, explained that while healthcare has lagged behind other industries in adopting AI, it is now catching up—though not without its challenges.
Ellender pointed out the frustrating experience of booking a GP appointment: “You have to get on a phone at eight o’clock in the morning, wait in the queue for 20 minutes, and then you’re told you can possibly see a GP next Thursday.” AI-powered scheduling systems and digital consultations can help alleviate this issue, but when it comes to diagnosis, AI still has a long way to go. While AI models are improving, human doctors remain more reliable. AI may assist, but full automation in healthcare is, for now, a risky bet.
A promising AI application is medical imaging. AI models are proving exceptionally good at spotting patterns in brain scans and retinal images—sometimes even outperforming human radiologists. Another promising tool is AI-driven ambient listening, transcribing consultations to save time. As Ellender noted, AI “can save two minutes of every 10-minute consultation,” which, when having 40 patients a day, has a “material impact” on his productivity as a GP.
However, challenges remain. Healthcare data is often scattered across different systems, making integration difficult. Ellender believes this data should be consolidated—longitudinal patient records combined with genetic data—to apply physiology at “a granular level” and create tailored treatment plans. The ultimate goal? Building datasets large enough to turn AI into the “digital doctor of the future.” But the moment you consider this, a major risk comes to mind: data breaches. And even more concerning, the power this could give health insurance companies in determining the cost of your plan. Not sure we’re ready for that just yet.
Moreover, AI models are only as good as the data they’re trained on. As Ellender pointed out, AI models reflect biases in training datasets—often skewed toward white men in wealthy countries. AI also struggles with unpredictable “black swan” events. Before diving headfirst into AI-powered diagnoses, Ellender argues, we need to “get the basics right” before thinking about the “sexy AI stuff”.
Proceed with Caution
AI is not going anywhere—it’s here to stay. The question is not whether to use it but how to implement it responsibly. While AI enhances decision-making in finance, healthcare, and beyond, it must be used ethically, with safeguards against bias and misuse. We are not yet at the stage where AI can replace human expertise, but with careful regulation, it can be a powerful tool rather than a weapon. So, as we navigate this AI-powered future, one thing is clear: balance innovation with caution. And, for now, maybe avoid making any major purchases at 2 AM.
The views and opinions expressed in this article belong solely to the writer and do not necessarily reflect the views and opinions of the Warwick Economics Summit.
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