By Sam Tabahriti

LONDON (Reuters) -Britain lacks the computing infrastructure to deliver the full potential of its leading artificial intelligence research base, Nvidia's CEO said on Monday, as the UK partners with the U.S. chipmaker for a new AI testing environment.

Jensen Huang's comments came as the Financial Conduct Authority announced a new framework to allow financial firms to experiment with AI tools in a controlled environment from October, part of a government strategy to support innovation and economic growth.

"The UK is the largest AI ecosystem in the world without its own infrastructure," Huang told an audience at London Tech Week alongside Prime Minister Keir Starmer, citing the country's top universities, startups and third-largest AI venture capital market.

He praised Starmer's plan to boost Britain's domestic computing capabilities by 20 times and provide 1 billion pounds ($1.36 billion) of investment.

"The ability to build these AI supercomputers here in the UK will naturally attract more startups, it will naturally enable all of the rich ecosystem of researchers here," he added, saying Britain was "an incredible place to invest".

The FCA has partnered with Nvidia to provide access to advanced computing power and bespoke AI.

The programme is intended to help firms in the early stages of exploring AI, offering access to technical expertise, better datasets and regulatory support, the FCA said. It is open to all financial services companies experimenting with AI.

Finance minister Rachel Reeves has urged Britain's regulators to remove barriers to economic growth, describing it as an "absolute top priority" for the government.

In April, she said she was pleased with how the FCA and the Prudential Regulation Authority, part of the Bank of England, were responding to her call to cut red tape.

Starmer also said in a speech opening London Tech Week that Israeli fintech firm Liquidity Group would open its European headquarters in London, representing an investment of 1.5 billion pounds.

($1 = 0.7369 pounds)

(Reporting by Sam Tabahriti; Editing by David Holmes and Jan Harvey)