Tough on money laundering … and on the EU: UK authorities chart their course on AML policy

Abstract

PurposeThe purpose of this paper is to discuss recent trends in anti‐money laundering enforcement by UK regulatory authorities and the UK's response to recent EU anti‐money laundering regulatory reform proposals.Design/methodology/approachThe paper describes HM Treasury's review of the UK's “Money Laundering Regulations 2007,” recent enforcement actions taken by the Financial Services Authority and the Office of Fair Trading, and the UK Government's response to recent proposed revisions to the EU's Third Money Laundering Directive.FindingsThe paper finds that taking action for breaches of anti‐money laundering regulations remains high on the financial crime agenda of UK supervisory authorities. The UK argues against greater harmonization between anti‐money laundering and counter‐terrorism financial measures employed by the member states, believing enforcement powers should remain within member states.Originality/valueThe paper provides expert guidance from experienced financial services lawyers.