EU AI Act Compliance Deadline Approaches for High-Risk AI Systems

What Happened

The European Union's AI Act continues to roll out its requirements in phases. Businesses that use AI in areas classified as high-risk, including recruitment tools, credit assessment, and systems that influence access to essential services, are now under active compliance obligations in many EU member states.

National regulators across the EU have begun issuing guidance and, in some cases, starting preliminary audits of businesses in affected sectors.

Why It Matters

If you sell to EU customers or operate any part of your business in Europe, this affects you. The AI Act is not just about large tech companies. Small and medium businesses using off-the-shelf AI tools for hiring decisions or customer scoring are also covered if those tools fall into high-risk categories.

Fines for non-compliance can reach up to 30 million euros or 6 percent of global annual turnover, whichever is higher.

What To Do

Start by listing every AI tool your business uses and what decisions it influences. If any of those tools affect hiring, lending, insurance pricing, or access to services for EU residents, you likely need to review your compliance position.

You do not necessarily need a lawyer immediately, but you do need a clear record of which AI systems you use, what data they process, and how decisions are reviewed by a human. The EU AI Act website has a self-assessment tool that is worth completing as a starting point.