European Commission begins enforcing EU AI Act transparency and deepfake-labelling provisions from 2 August 2026, with its AI Office empowered to inspect models, demand technical records, and order changes

The European Commission's AI Office in Brussels and national regulators across the EU began enforcing key provisions of the EU Artificial Intelligence Act (AI Act) on 2 August 2026, marking the entry into force of the August 2026 phase of the legislation. This phase introduces broader transparency requirements and stronger oversight of general-purpose AI models (large AI systems capable of performing a wide range of tasks). Specifically, companies are now required to identify deepfakes (AI-generated video or audio content made to appear genuine), label AI-generated material, and control serious cyber risks associated with powerful AI systems. The EU AI Office now has the power to inspect advanced AI models, demand technical records, examine how models work, question company staff, and order changes where systems fail to meet legal requirements. The expanded enforcement team will investigate whether companies operating in the EU are in strict compliance with the Act. This follows earlier phases: the AI Act entered into force in August 2024, bans on certain unacceptable uses began applying in February 2025, and August 2026 represents the next significant implementation milestone. The high-risk AI rules, which impose the most stringent obligations on AI systems used in critical sectors such as healthcare, law enforcement, and employment, are expected to apply from 2027. For law firms and their corporate clients, the practical effect is that any organisation deploying general-purpose AI tools in the EU, whether for client-facing services or internal operations, now faces active regulatory scrutiny over their content-labelling and cyber-risk management practices.