Update on the HM Treasury consultation covering Money Laundering and Terrorist Financing Regulations.
HM Treasury has published its consultation on the new Money Laundering and Terrorist Financing Regulations (the ‘Regulation’), which will take effect from this summer. What can we learn from the proposed changes?
The current regulations (Money Laundering Regulations 2007) may refer to risk assessment once, but the new regulation puts it at the heart of the Anti-Money laundering (AML) and Counter-Terrorist Financing (CTF) process. It details how risk assessments should be performed and how they can be used to drive an effective risk based approach (RBA).
A documented and justified RBA will allow you to tailor your approach to due diligence and ensure proportionality to AML/CTF risks faced. This can include:
For further details regarding the proposed changes by the Regulation and what it could mean for you, please contact Rob Cutler - Partner and Head of Financial Services Forensic at KPMG in the UK.