20 February 2026

The Credit Research Centre (CRC) partnered with the Model Risk Managers International Association (MRMIA) to deliver a full-day, in-person event devoted to understanding and managing Model Risk. On 19 February 2026, the sessions brought together regulators, academics, and industry practitioners to explore one of the most critical and evolving disciplines in modern analytics and financial services.

Titled Fundamentals of Model Risk, the event examined how models - from simple regressions to advanced machine learning and generative AI systems - can fail, and how such failures translate into measurable risk. Model Risk, defined as the potential loss caused by incorrect, inappropriate, incomplete or misused models, is increasingly recognised as both a professional discipline and a regulatory priority, particularly within financial services.

Expert perspectives from industry and regulation

The programme featured contributions from leading specialists, including:

  • Dr Diederick Potgieter, Senior Technical Specialist in Capital Management at the Prudential Regulation Authority (PRA), Bank of England
  • Christian Duesterberg, Risk Management Consultant with over 26 years’ experience in financial services
  • Dr Alan Forrest, CRC Business Associate, MRMIA Board Member, and former senior model development and validation lead at Virgin Money UK, Royal Bank of Scotland, and Halifax Bank of Scotland
  • Additional international experts in model risk and quantitative risk management

Drawing on deep experience from the banking sector, speakers addressed how Model Risk manifests in practice, how it is regulated in UK financial services, and what benefits a strong Model Risk mindset can bring to modelling and decision-making.

Developing the Model Risk mindset

The workshop sessions introduced participants to the structured thinking behind Model Risk management, and its importance across industries. Discussions covered:

  • The Model Risk mindset and the model lifecycle
  • Case studies from financial services, engineering & law
  • Model Risk as a form of risk management
  • Regulatory oversight by the Bank of England
  • The costs and benefits of embedding Model Risk discipline

Participants were encouraged to reflect critically on their own modelling practices and consider how systematic identification, assessment, and mitigation of model weaknesses can improve both analytical rigour and business outcomes.

Panel discussion and industry dialogue

The evening panel session brought together regulators, academics, and industry leaders for a candid discussion under Chatham House rules. Panellists included:

  • Diederick Potgieter, (Bank of England PRA)
  • Christian Duesterberg, (Independent Consultant)
  • Lukasz Szpruch, (The Alan Turing Institute)
  • Maria Kalantzaki, (Virgin Money UK / Nationwide)

Moderated by Dr Alan Forrest, the panel explored the practical implications of Model Risk governance, the challenges of implementation across institutions, and the future direction of regulation and professional practice.

The day concluded with a drinks reception, providing attendees the opportunity to continue discussions and build connections across academia, industry, and regulatory communities.

Strengthening the model risk community

The event demonstrated CRC’s continued commitment to fostering dialogue between research and professional practice. By uniting academic insight with regulatory and industry experience, CRC and MRMIA highlighted how a mature Model Risk framework not only protects organisations but strengthens trust, transparency, and decision-making quality across sectors.

The Credit Research Centre extends our heartfelt gratitude to MRMIA for sponsoring this event.