KPMG pulls report on AI usage due to apparent hallucinations

Overview

Professional services firm KPMG pulled a report titled Redefining excellence in the age of agentic AI after several organizations said its claims about their AI usage were untrue. Research group GPTZero identified inaccuracies in the report, published in October 2025, and attributed them to AI hallucinations. UBS, the UK's National Health Service, Swiss Federal Railways, and Transport for London all told the Financial Times that the report's claims about their AI usage were untrue or misleading.

Key Takeaways

KPMG pulled a report titled Redefining excellence in the age of agentic AI after organizations disputed its claims.
The report was published in October 2025.
Research group GPTZero identified inaccuracies and said they stemmed from AI hallucinations.
UBS, the UK's NHS, Swiss Federal Railways, and Transport for London said claims about their AI usage were untrue or misleading.
KPMG removed the report from its websites while it conducts an investigation.

Stats & Key Facts

#The report was published in October 2025.
#Four named organizations disputed the report: UBS, the UK NHS, Swiss Federal Railways, and Transport for London.

What KPMG Pulled

The report concerned agentic AI.

›The report was titled Redefining excellence in the age of agentic AI.
›It was published in October 2025.
›KPMG pulled it after numerous organizations said its claims about their AI usage were untrue.

The article frames the episode with the observation that AI again proved to be an unreliable source of information about AI, since the firm appears to have used AI to help write a report about AI.

How the Errors Were Found

›Research group GPTZero identified a number of inaccuracies in the report.
›GPTZero told the Financial Times the inaccuracies stemmed from AI hallucinations.
›The firm appears to have used AI to help write the report.

GPTZero's findings attribute the report's false claims to AI hallucinations rather than ordinary editorial mistakes.

Organizations That Disputed the Claims

›UBS said the report's claims about its AI usage were untrue or misleading.
›The UK's National Health Service and Swiss Federal Railways made similar statements.
›Transport for London also disputed the report's claims to the Financial Times.

All four organizations told the FT that the report's descriptions of their AI usage were either untrue or misleading.

KPMG's Response

›A KPMG spokesperson said the firm removed the report from its websites.
›KPMG is conducting its own investigation.
›The firm said it expects staff to follow its guidelines on responsible AI use.

The spokesperson said those guidelines include human oversight to validate content and verify independent sources.

A Broader Pattern

›The KPMG case is not isolated.
›Last month, EY withdrew a report on loyalty rewards programs.
›That EY report appeared to include fake footnotes and AI hallucinations.

The EY example points to a recurring problem of professional services firms publishing reports containing AI-generated inaccuracies.

Frequently Asked Questions

Which report did KPMG pull?

KPMG pulled a report titled Redefining excellence in the age of agentic AI, which was published in October 2025.

Why was the report pulled?

Numerous organizations said the report's claims about their AI usage were untrue, and research group GPTZero identified inaccuracies that it attributed to AI hallucinations.

Which organizations disputed the report?

UBS, the UK's National Health Service, Swiss Federal Railways, and Transport for London all told the Financial Times the claims about their AI usage were untrue or misleading.

What did KPMG say in response?

KPMG said it removed the report from its websites while conducting an investigation and expects staff to follow its responsible AI guidelines, including human oversight and verifying independent sources.

Has this happened to other firms?

Yes. Last month, EY withdrew a report on loyalty rewards programs that appeared to include fake footnotes and AI hallucinations.

The episode shows the risk of using AI to produce professional reports without rigorous human verification of the facts.