<aside> ℹ️ This session features at PAIRS 2026 Online on 17th February 2026 13:30 UTC. Registered participants will receive zoom links to join the session via e-mail.
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[https://drive.google.com/file/d/13Di-b2dLkt_ypKBMsX6UGiTsPSxid3NN/view?usp=sharing](https://drive.google.com/file/d/13Di-b2dLkt_ypKBMsX6UGiTsPSxid3NN/view?usp=sharing)
This work conducts a literature review to examine the role of stakeholder participation in regulatory sandboxes. Regulatory sandboxes facilitate regulatory experimentation in innovation contexts and have garnered significant attention in AI policy and governance discourse. In various jurisdictions, sandboxes are viewed as the primary means to address challenges posed by new technologies and to address the pace problem regarding law and technology development, where the first lags behind.
The authors argue that stakeholder participation in these regulatory experiments is akin to the regulated industry registering for and taking part in the sandbox environment, with minimal attention to the perspectives of end consumers and affected citizens. Therefore, authors revisit the participation gap in the sandbox framework, specifically concerning the absence of a public voice(s) in a setting that aims to shape market regulation and assess current requirements, thus influencing the regulatory agenda – particularly when the regulated market provides essential services, which directly impact people’s daily lives.
While acknowledging the limitations of broad public participation in shaping sandbox experiments, the authors draw inspiration from existing public engagement tools that promote the principle of transparency in administrative law, such as public consultations and impact assessments. Following the OECD, they recommend integrating these tools into the sandbox framework, especially regarding the outcomes of sandbox experiments and the subsequent actions regulators plan to take. Enhancing transparency within the sandbox regime is crucial to facilitate public scrutiny in the age of AI – a technology that can, by design, exclude and exacerbate the digital divide, bias, and discrimination.
Currently, the model pioneered by the Financial Conduct Authority in the United Kingdom, which serves as an example worldwide, only shares high-level information about the number of participants and their businesses, without disclosing whether the sandbox has identified a need for regulatory changes or explaining the reasons behind its findings. Although this framework has proven effective for the industry – attracting engagement through the FCA’s reputation for trustworthiness – it could benefit from greater public oversight and participation, specifically to ensure that marginalised voices are included in the regulatory process and are able to exercise oversight.