PwC Luxembourg´s latest report, ´DORA: Laying the Groundwork for Digital Resilience and Transformation´, reveals that 84 per cent of financial firms in Europe believe failing to adopt Artificial Intelligence and digital tools will harm their business within five years. However, only a minority have the necessary processes and data management frameworks in place to meet the stringent requirements of the Digital Operational Resilience Act (DORA).
The findings come from a March 2025 survey of banks, insurers, asset managers, and payment firms across the European Economic Area. While there is widespread recognition of the need to embrace technology—driven both by competitive pressure and regulatory obligations—actual implementation is lagging. Only 4 per cent of respondents have embedded DORA compliance into their routine business activities, and a mere 12 per cent have established robust, well-designed data management strategies. Meanwhile, almost half of those surveyed expect Artificial Intelligence to deliver cost savings of 10 per cent or more. Yet, 65 per cent are still assessing compliance demands, and most have not built systematic methodologies for identifying their critical ICT functions as mandated by DORA.
Risk management progress is uneven. Although 86 per cent report having implemented ICT risk taxonomies—a marked improvement in risk governance—just 39 per cent have a methodology to quantify ICT risks. Significant supplier risks persist, with 58 per cent seeing substantial gaps among their ICT providers and over a quarter planning to terminate at least one provider in 2025 over DORA compliance issues. The report emphasizes a strategic shift: leading firms are leveraging DORA not simply as an obligation but as an opportunity to embed resilience, modernize operations, and drive value creation throughout the sector. Quotations from PwC Luxembourg leaders underline that DORA should be viewed as a catalyst for reinvention and long-term transformation, warning that third-party providers unable to keep up may lose business as regulations tighten.
