Compliance

Risk-based classification

Categorizing systems by potential harm (low/high/prohibited).

Definition

A regulatory concept introduced in the explanatory memorandum whereby systems are classified by their potential to cause harm (for example: low, high, prohibited) to determine proportionate obligations such as transparency, testing, human oversight, conformity assessment and restrictions. The classification is intended to drive differentiated regulatory duties, registries, and enforcement mechanisms in the mandated General Law.