Money Laundering Regulations 2017
04 August 2017
Terrorists and criminals will find it harder to move money through the UK financial system thanks to new rules which came into force on 26 June 2017.
The money laundering, terrorist financing and transfer of funds (information on the payer) regulations 2017 implement the EU 4th money laundering directive and complement work across government to strengthen UK defences and deliver on the 2016 action plan for anti-money laundering and counter-terrorist finance.
This includes the Criminal Finances Act, which will give law enforcement further capabilities and powers to recover the proceeds of crime, tackle money laundering, tax evasion and corruption, and combat the financing of terrorism.
Geographical extent – The regulations extend to all four nations of the UK.
Businesses such as banks, estate agents, accountants and payment firms will have to carry out stringent and targeted checks to make sure that money changing hands is from a legitimate source and will not be used to fund terror acts.
Serious and organised crime costs Britain at least £24 billion every year, and recent attacks demonstrate the importance of a strong toolkit to prevent terrorist atrocities. Although the vast majority of businesses are vigilant, these new rules will ensure that they are not abused by criminals or terrorists looking to move funds or obscure assets.
The rules will improve the quality of the checks. They ensure that businesses can spot suspicious activity and report it, enabling the police to act swiftly and decisively to prevent corruption or terrorist attacks.