Lloyds Banking Group Partners with University of Glasgow for Landmark Agentic AI Research Programme

Lloyds Banking Group has joined forces with the University of Glasgow to launch a four-year research programme focused on exploring the impact of agentic artificial intelligence on software and data engineering.

The collaboration aims to examine how large language model (LLM)-powered coding systems—commonly referred to as agentic AI—can support engineers working within complex, large-scale enterprise environments. The initiative reflects Lloyds’ broader strategy to accelerate digital transformation and enhance engineering productivity across its operations.

Real-World Testing Across Global Engineering Hubs

As part of the programme, Lloyds Banking Group, which serves around 28 million customers, will conduct structured, real-world experiments involving its engineering teams based in Bristol, Manchester, and Hyderabad.

Each quarter, software and data engineers will collaborate directly with AI agents on a range of development tasks. The objective is to generate empirical insights into how these tools influence both the speed and quality of software delivery.

Over time, successful AI-assisted workflows identified through these trials will be scaled across the organisation, ultimately reaching all engineering teams as Lloyds refines its approach to safe and effective AI adoption.

Closing the Gap Between Academia and Industry

The partnership is designed to bridge a long-standing gap between academic research and real-world enterprise implementation of AI technologies. To support this effort, the University of Glasgow will introduce three dedicated research roles: a PhD position, a Master of Research role, and a postdoctoral research associate.

The academic side of the initiative will be led by Tim Storer and Peggy Gregory from the university’s School of Computing Science.

Dr. Storer highlighted the importance of the research, noting that while agentic AI has the potential to automate routine tasks and allow engineers to focus on higher-level problem-solving, there is currently limited large-scale industry research on its practical integration.

Focus on Responsible AI and Industry Impact

On the industry side, the programme is being led by Shane Montague, with executive sponsorship from Andrew McDonald.

Montague emphasized that the initiative aligns with Lloyds’ mission to drive innovation while improving customer-focused digital services. He added that the partnership will provide valuable real-world evidence to better understand how agentic AI can be deployed responsibly at scale.

Open Research and Future Standards

A key outcome of the collaboration will be the publication of research findings, including academic papers and best-practice frameworks. These resources are expected to benefit both the financial sector and the wider technology industry by offering practical guidance on integrating AI into software and data development processes.

As organisations increasingly turn to AI-driven solutions, this partnership could play a pivotal role in shaping future standards for enterprise AI adoption.