United Kingdom

New Documents

HM Treasury’s Office of Financial Sanctions Implementation issued a notice concerning additions made to the consolidated list pursuant to the Russia (Sanctions) (EU Exit) Regulations 2019.

The U.K. Foreign, Commonwealth and Development Office announced new sanctions targeting 22 Russian officials for promoting conscription, enforce mobilization, and the use of criminal mercenaries in the invasion of Ukraine.

News

Enforcement Actions

The Financial Conduct Authority imposed a £18,022,500 financial penalty on the London-based firm for activities that demonstrated a lack of integrity, including failing to take reasonable care to organize and control its affairs with respect to potential acts of bribery and corruption.

The U.K. Gambling Commission ordered the Malta-based gaming operator to pay a £237,600 penalty for anti-money laundering breaches related to inadequate due diligence checks concerning third party business relationships.


Important Facts

  • The U.S. State Department identifies the United Kingdom (U.K.) as a major money laundering jurisdiction. The country’s leading role in European and world finance, size, sophistication and reputation of its financial markets make the U.K. attractive to money launderers. The majority of money laundering is cash-based, in particular cash collections networks, international controls, money services businesses and informal alternative remittance systems. Also, professionals in the legal and accountancy sectors move and launder criminal proceeds. The country is suffering from major gaps in intelligence, especially in relation to high-end money laundering, which is particularly relevant to major frauds and foreign corruption where proceeds are generally held in bank accounts, real estate or other investments rather than cash. The United Kingdom has implemented know your customer and suspicious transaction reporting regulations, as well as enhanced due diligence for foreign politically exposed persons. Although the U.K. adheres to the EU’s Fourth Anti-Money Laundering Directive, it passed the Sanctions and Anti-Money Laundering Act 2018, the legislative basis for the U.K.’s anti-money laundering regime following its planned departure from the European Union.
Source: 2019 International Narcotics Control Strategy Report (INCSR)

Rankings

FATF i | 2013 Methodology

Technical Effectiveness
Compliant : 23 High : 4
Largely Compliant : 15 Substantial : 4
Partially Compliant : 2 Moderate : 3
Non-Compliant : 0 Low : 0

BASEL i

Rank : 116/141
Score : 4.02/10

TRANSPARENCY INTERNATIONAL i

Rank : 12/180
Score : 77/100

Tax Justice Network i

Rank : 12/133
Score : 46/100