Purpose and Objectives

This document serves as a reusable template for creating an organisational AI Policy. It provides clause-by-clause guidance, recommended language, and decision criteria that policy makers, legal teams, AI practitioners, and strategy leaders can adapt to their specific regulatory and operational context.

An effective AI Policy should achieve four objectives:

1. 01Establish clear guardrails for the development, procurement, and deployment of AI systems.
2. 02Assign accountability across roles and functions so that no AI system enters production without a defined owner.
3. 03Align with applicable regulation — including the EU AI Act, UK AI regulatory framework, NIST AI Risk Management Framework, and sector-specific obligations.
4. 04Enable responsible innovation by reducing ambiguity and giving teams confidence to move quickly within agreed boundaries.

A policy is not a static document. It should be treated as a living instrument, reviewed at minimum every twelve months or whenever a material regulatory, technological, or organisational change occurs.

Scope and Applicability

What the Policy Covers

The policy should apply to all AI systems — whether built internally, procured from third parties, or embedded within broader software products — that are used to:

• Make or materially inform decisions about individuals (e.g. hiring, lending, healthcare triage).
• Automate operational processes that carry legal, financial, safety, or reputational risk.
• Generate content, analysis, or recommendations consumed by employees, customers, or regulators.