EU AI Act and cost and profitability
DEADLINE: 2 AUGUST 2026
The EU AI Act will ask for proof. Are your cost models ready?
From 2 August 2026, high-risk AI models need documented governance, traceability and human oversight a regulator can audit. We prepare your cost and profitability models to that standard, and keep the evidence current over time.
Assess my exposure See the frameworkThe EU AI Act applies to high-risk AI systems from 2 August 2026, and requires you to prove, with auditable documentation, that an AI model is governed, traceable and overseen by humans. For cost and profitability models, that means showing where each number comes from and who validated it. Cost and Profitability Consulting builds and maintains that evidence, tying compliance to the same work that makes the model trustworthy.
2 Aug 2026high-risk obligations apply
EUR 35Mor 7% of global turnover, maximum fine
42%only are ready to show AI evidence
What the Act requires
Four things you will have to prove.
01
Governance and risk
A documented risk management system for the model.
02
Data governance
Training and test data that is relevant, representative and correct.
03
Traceability
Automatic logging and technical documentation across the lifecycle.
04
Human oversight
Real operational controls, not just policies on paper.
Frequently asked
Are my AI cost models covered by the EU AI Act?
If they are used in credit decisions, regulated pricing or other Annex III high-risk areas, yes. Even outside those cases, the governance and evidence the Act requires are good practice for any model that drives financial decisions.
What is the deadline?
Obligations for high-risk AI systems apply from 2 August 2026. Fines can reach EUR 35 million or 7% of global turnover.
What does the EU AI Act require, in practice?
Documented governance, risk management, data quality and governance, technical documentation, automatic logging, human oversight and evidence a regulator can audit.
How do you help us comply?
Our Plan and Audit services build and maintain the evidence: readiness assessment, governance matrix, model traceability, drift detection and ongoing documentation for regulators and boards.